• Macro: Equity markets had a quiet day yesterday with US markets closed for Labour Day holiday, Europe was slightly positive +0.23%. In Europe, it was a balanced day with six of eleven sectors higher, and 48.7% of stocks in positive territory. Industrials and Healthcare were best, with Utilities and Consumer Discretionary worst. Defence and Aerospace stocks like Leonardo (+4.5%), Rheinmetall (+3.5%) and Rolls-Royce (+2.8%) had a strong day, after it was reported that Europe is working on plans for post-conflict deployment of forces in Ukraine. In macro news yesterday Ireland’s Manufacturing PMI declined slightly to 51.6 from 53.2 in August, whilst for France the August final Manufacturing PMI reading was revised up slightly to 50.4 from 49.9 and for the Eurozone the Mfg PMI was raised to 50.7 from 50.5. The UK’s Nationwide House Price index fell -0.1% MoM in August, leading YoY increases to miss expectations by 0.6% at +2.1% YoY. Also, in the UK for July, mortgage approvals beat estimates at 65.4k. The Eurozone Unemployment rate remained stable as expected at 6.2%. Finally, preliminary Irish harmonised CPI rose to +1.8% YoY in August (vs +1.6% prior) Economic releases today include the French Budget balance; EU’s CPI preliminary read for August (2.2% YoY est.). And in the US, we get finalised US Manufacturing PMI, and the August ISM manufacturing survey (Aug 49.0 est., 48 prior), with July’s Construction Spending data (-0.1% est., -0.4 prior). From the Central Bankers, only Muller from the ECB is expected to speak today.
• Stock: Ryanair: (Overweight: PT €29.50, Upside 17.4%) Update on August traffic numbers.Uniphar: (Overweight: PT €4.75, Upside 17.5%) Review of H1 results. Nestle (Overweight: PT CHF86.67 Upside 14.8%) Dismissal of CEO. Datalex (De-listing) Further details on delisting Regulatory News | Datalex. Dalata (De-listing) Recap on H1 results and further information on acquisition.
• Debt: Bond yields finished 2/3 basis points higher yesterday in thin liquidity given the US Labour Day holiday. The long end continues to suffer with 30-year yields hitting multi-year highs.

Opportunities this week:

• We are reiterating our BUY rating on Roche Holdings following promising Phase 1b trials for its obesity and type 2 diabetes drug. (BUY: CHF280 target)
• We are reiterating our BUY rating on Ryanair following the airlines FY24 earnings release. (BUY: €23.40 target)
• We are reiterating our BUY rating on Alphabet following it’s annual I/O developer conference. (BUY: $200 target)