• Macro: Equity markets had a positive day yesterday with the S&P500 nearing a record close, and the Nasdaq also positive, amidst increased optimism for earlier rate cuts and easing geopolitical tensions in the Middle East. Europe was more muted, with the STOXX 600 closing only slightly higher, buoyed by defence and mining stocks. Economic releases today for Europe include June’s Confidence Indexes (Consumer, Industrial and Services) at 10:00, then in the US May PCE, Personal Income and Spending, at 13:30, followed by the U. of Michigan’s Sentiment Index at 15:00. From the central bankers, we will hear from the ECB’s Villeroy, Rehn and Cipollone, as well as the Fed’s Hammack and Cook.

• Stock: We have an update on Apple’s EU App Store changes (see page 2)

• Debt: Core bond yields in the US were lower following the negative GDP revision and rising continuing unemployment claims.

• Discretionary Investments: A Long Term Perspective and Diversification are Key when Investing in Uncertain Times
• Focus Feature: Navigating Financial Planning with Confidence
• Cantor Fitzgerald Asset Management: The Latest Update on Our Funds
• Performance Data: The Most Recent Figures on Capital Protected Products

Opportunities this week:

• Last week was a busy week for PayPal with multiple announcements regarding its stablecoin (PYUSD), Venmo, and new strategic partnerships, which we believe continue to position PayPal to capture growth in the ever-evolving FinTech space, hence we reiterate our Overweight rating and a revised PT $97 from $96.   
• Following a multi-year period of de-rating and under-performance we are upgrading our rating on Diageo to Overweight and revising our price target from 2260p to 2370p, which provides c. 29% potential upside before the c.4% dividend yield. 
• After a period of share price weakness for Rio Tinto related to weaker iron ore prices, we are reiterating our Overweight rating with a PT of 5590p (c. 30% upside plus 7% dividend yield).