🇬🇧 The UK voted in a new government

The UK voted for a landslide election result | US payroll results where up, but not everything's perfect [Finimize](   TOGETHER WITH     Hi {NAME}, here's what you need to know for July 6th in 3:08 minutes.   🐒 Monkey see, monkey do. Join us for [Gaining An Edge Beyond ETFs]( on July 9th if you're a US investor, and discover the investing tool that has the ultra-wealthy going bananas. [Grab your free ticket]( Today's big stories - The Labour Party won the UK election by a landslide, creating a majority government that could provide much-needed stability - Five ways a second Trump presidency would impact the economy – [Read Now]( - The US created 206,000 jobs in June, but the job market might not be as strong as it seems Labour The Point [Labour The Point] What’s going on here? Labour leader Keir Starmer will become the British Prime Minister, after a landslide vote [pushed]( the opposing Conservative Party to its worst-ever defeat. What does this mean? The Labour Party will fill at least 412 parliamentary seats with politicians, well over the 326 needed for a majority. That support should make it easier for the Prime Minister to push through policies – and the priority is propping up the UK’s economy, which has struggled since Brexit and the pandemic. Both analysts and cash-strapped Brits are hoping that’ll lead to political and economic stability. If they’re right, the UK will become a much more attractive investment destination for investors both home and away. Why should I care? For markets: Talk about a stiff upper lip. The British pound sterling has been one of the strongest currencies this year, supported by high interest rates. UK stocks are trading near their record highs, too, although they’re cheaper than those in the European Union, Japan, and the US. Now, this election outcome was predicted in the polls, so there weren’t many surprises to shake up the stock market – besides a handful of building companies’ stocks ticking up in anticipation of new supportive policies. But there may be more moves ahead as details spread about the new government’s tax and spending plans. The bigger picture: Eyes on the prize. Election results can be much more volatile: they were in France, Mexico, and India – and the US might contribute to the chaos. The former President’s potential policies include lowering taxes to increase folks’ income and bumping up tariffs on China’s exports to protect stateside jobs. But on the other side of that coin, both actions could lead to higher inflation and, in turn, higher interest rates. It’s impossible to predict the outcome, of course, so investors should focus on long-term prospects rather than short-term volatility. You might also like: [The UK might not be a value trap anymore.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Labour The Point&utm_campaign=daily-global-06-07-2024&utm_source=email) Analyst Take What Trump 2.0 Would Mean For The Economy [What Trump 2.0 Would Mean For The Economy]( [Photo of Reda Farran, CFA] Reda Farran, CFA, Analyst What’s Going On Here? It’s easy to forget that voters generally care about one thing above all others: [the economy](. And for them, [the US election]( in November comes down to this: continue President Joe Biden’s economic policies or change course and return former President Donald Trump to the White House. With the Republican convention less than two weeks away, let’s have a look at [Trump’s plans]( for the economy and what it might mean for your portfolio. That’s today’s Insight: [five ways a second Trump presidency would impact the economy](. [Read or listen to the Insight here]( Your free guide to investing with AI Artificial intelligence is slowly but surely becoming ingrained into our lives. Condensing articles, checking out medical symptoms, writing tricky break-up texts: we’ve all been flocking to chatbots without a second thought, for better or for worse. So it’s no surprise that [AI investing tools]( have taken off in a big way. After all, they can tap into the insights of every resource imaginable to create [tailor-made suggestions and solutions](. The only problem: AI can go rogue, and it doesn’t always understand the nuances of human thinking and communication. (Yet.) So before you use the super-smart tech to sharpen up your strategy, [read this free guide to find out how to invest with AI the right way](. [Check Out The Guide]( Brave Face [Brave Face] What’s going on here? The US [created]( more jobs than expected in June, but that hardy showing might be hiding some inner weaknesses. What does this mean? The US added 206,000 jobs in June, slightly more than the expected 190,000. But April and May’s numbers were revised downward by a total of 111,000, suggesting that the labor market is weaker than June’s figure indicates. Plus, the average number of workers on payroll each month has been increasing by a lot less this year than the two before. Unemployment edged up to 4.1%, too, just a touch higher than predicted. And for those in jobs, average hourly earnings increased 3.9% from a year ago as expected – the lowest in three years. Why should I care? For markets: A balancing act. The Federal Reserve (Fed) has two main responsibilities: keep prices stable and maximize employment. And while the recent increase in unemployment will be on the central bank’s radar, inflation is still the main focus. The Fed’s favored measure for that came in at 2.6% for May – the lowest since March 2021, but still above its 2% target. And reaching that goal is easier said than done. Cut rates too early, and inflation may pick up again. Leave it too late, and the economy might slow down – or even fall into a recession. That’s why traders are betting that the first cut won’t come until September. The bigger picture: A league of their own. Higher interest rates are a thorn in the side for companies with a lot of debt on the books, forcing them to pay more on their borrowed cash. But America’s hulking tech giants seem to be immune to the damage, boasting swollen cash piles, pumped-up profit, and runaway stock prices. When the Fed does cut interest rates, though, cheaper borrowing costs could give smaller companies the chance to compete. You might also like: [Call it a ’90s reboot or a new roaring twenties, US stocks are looking retro chic.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Brave Face&utm_campaign=daily-global-06-07-2024&utm_source=email) 💬 Quote of the day "I've failed over and over and over again in my life and that is why I succeed." – Michael Jordan (an American former basketball player and businessman) [Tweet this]( Warren Buffett once said: “hang out with people better than you.” That's sound advice for investing platforms. Our [Modern Investor Pulse]( survey asked over [3,000 highly engaged modern retail investors which platforms they favor,]( and what matters to them when choosing which one to use. [Discover the top three here]( (in no particular order) – and if you want more, you can get in touch to see the full list and find out where your platform ranks. [Get The Story]( 👀 Goldman’s Optimal Asset Allocation You can obsess all you want about your stock picks, but the game-changer for your returns is most likely in your [asset allocation](. Studies find that about 90% of a portfolio's variability in performance is tied to how its investments are spread across asset classes – not the individual stocks or bonds it holds. [Goldman Sachs]( has crunched some numbers, calculating what it considers to be the optimal investment mix – the one that would [max out your risk-adjusted returns – for different economic scenarios](. [Read The Quicktake]( 🎯 On Our Radar 1. A century of the ultimate summer meal. July marks the 100th anniversary of the [Caesar salad.]( 2. New crypto projects are spawned every day. Here's your [guide to investing in bitcoin](.* 3. Everyone has a type. Maybe unlike your dating preferences, your [blood type can change]( at any point. 4. Trading platforms are a dime a dozen. [Here's how to find one]( that's really worth your money.** 5. Feeling the heat. How to settle the age-old household debate of [what temperature to have your thermostat at](. **Your capital is at risk. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. When you support our sponsors, you support us. Thanks for that. 🌍 Finimize Live 🤩 Grab your tickets... All events in UK time. 🏔️ [Gaining An Edge Beyond ETFs](: 8pm, July 9th 💃🏼 [Finimize Ladies Investing Club:]( 6.30pm, July 18th 🤫 [Secret Strategies Of A Long-Term Investor:]( 5pm, July 24th 💰[How To Invest Like A Modern Warren Buffett:]( 5pm, Aug 14th 🔨 [Five Portfolio Hacks For Busy Investors:]( 5pm, Sept 12th 🚀 [2024 Modern Investor Summit](: 2pm, December 3rd ❤️ Share with a friend Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. You stay classy, {NAME} 😉 We’d love to hear your thoughts. [Give feedback]( Want to advertise with us too? [Get in touch]( Image Credits: Image credits: Martin Suker / Shutterstock | Dall-e Preferences: [Update your email]( or [change preferences]( [View in browser]( [Unsubscribe]( from all Finimize Emails 😴 Crafted by Finimize Ltd. | 280 Bishopsgate, London, EC2M 4AG All content provided by Finimize Ltd. is for informational and educational purposes only and is not meant to represent trade or investment recommendations. You signed up to this mailing list at finimize.com or through one of our partners. © Finimize 2021 [View Online](