Enlightenment - A Herold & Lantern Investments Podcast

Are Animal Spirits Taking Over Wall Street Again?

• Keith Lanton • Season 7 • Episode 29

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July 27, 2025 | Season 7 | Episode 29

A major shift in global trade dynamics unfolded today as the United States and European Union reached a preliminary agreement setting a 15% baseline tariff on most European imports—significantly lower than the threatened 30% that loomed without a deal. The implications ripple across multiple sectors, with pharmaceuticals hanging in balance as the largest trade category between these economic powers.

The deal reveals striking contrasts across industries. European automobiles face a 15% tariff entering American markets while US vehicles will enjoy a dramatically reduced 2.5% rate entering Europe—completely reversing the previous arrangement that favored European manufacturers. Meanwhile, a massive $750 billion energy purchase commitment from Europe represents a clear win for American energy producers as the continent pivots away from Russian supply dependency.

Financial markets responded with cautious optimism, recognizing that while the lower-than-threatened tariff rates provide some certainty, significant questions remain about implementation details. This trade development arrives during a particularly consequential week for investors—the heaviest earnings reporting period for S&P 500 companies coincides with the Federal Reserve's interest rate decision and Friday's employment report.

Despite markets hovering near all-time highs, concerning signals of market froth have emerged: meme stock activity has resurged, retail trading dominates certain market segments, and margin debt has surpassed $1 trillion for the first time ever. The extreme concentration of market capitalization—with just ten stocks comprising 40% of the S&P 500—presents both opportunity and risk for investors navigating this complex landscape.

For those seeking potential value amid the uncertainty, European pharmaceuticals and domestic automakers like General Motors present interesting contrarian opportunities, both sectors trading at substantial discounts to the broader market while generating significant cash flow. As global trade relationships continue evolving under new pressures, investors must carefully weigh economic fundamentals against geopolitical risks in portfolio construction.

** For informational and educational purposes only, not intended as investment advice. Views and opinions are subject to change without notice.

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Alan Eppers:

And now introducing Mr Keith Lanton.

Keith Lanton:

Good morning. Hope everyone had a fantastic summer weekend. Today is Monday, July 28th. It's also the biggest lift in terms of the number of earnings reports coming out this week from S&P 500 companies for second quarter earnings. So that data point is one that we will have this week, with lots of companies reporting a slew of the Magnificent Seven. Also this week we get commentary from the Federal Reserve commentary on interest rates. Of course President Trump has been pressuring the Fed to lower rates, having a meeting with Chairman Powell recently, so that will certainly have a little bit of extra attention focused on it. Not that it needs a lot of extra attention, but nevertheless even more attention on the Fed meeting on Wednesday and the subsequent conversation and press meeting after the Federal Reserve meets. So this is a very heavy week in terms of economic news. Federal Reserve earnings. Friday we get the employment report and that sets us up for August, which is typically a month when we see more folks out of the office. We have Congress themselves on recess and we have the Fed at Jackson Hole where oftentimes the Federal Reserve will dictate the policy or strategy changes. So we'll be mindful of the lead-up into August, but we're going to start out this morning with what is the news of the morning, which is that the US and the European Union have reached a deal in principle. There is no signed deal and there are notable differences in how the two sides characterize different aspects of the agreement. We'll talk a little bit about the agreement. We'll give a BBC British Broadcasting view sort of independent third party of, perhaps who are the winners and losers. At least at the moment, we don't have all the details, and the devil is certainly in the details.

Keith Lanton:

Why is the European Union so significant? Well, the European Union as a bloc is the largest trading partner of the United States. We actually import more from the EU than we do from China. When you look at it on an individual country basis, China is our largest country that we import from, but when you look at it in aggregate, it is the EU, and when you look at it in aggregate, we export the most of the EU, even though we run approximately a $200 billion a year deficit, something that President Trump has been very mindful of in his negotiations and something that's been a thorn in his side for some time, and this is perhaps one of the reasons he's been so vocal about getting what he calls a good deal with the European Union. So the baseline here is a 15% tariff that the US will impose on most goods from the European Union. European Commission President Ursula von der Leyen said the rate would apply to cars, among other items, but there are some exemptions. Again, we don't have all the details. The EU agreed to open up their countries to trade at zero. Tariffs would apply to some strategic products like aircraft and semiconductor equipment. Speaking Monday, EU officials said tariffs would also be cut for some US imports, including some farm and industrial goods, but not immediately.

Keith Lanton:

Perhaps the area of the greatest uncertainty has to do with drugs and, to a lesser extent, chips. European officials believe and believe is the big word here. We do not have final clarity that tariffs will be capped at 15% and global pharmaceuticals is really the item that the markets will be focused on going forward. We will talk about how important pharmaceuticals are. Just to give an idea of the breakdown, many may not realize that pharmaceuticals are by far and away the biggest import that the United States participates in in their trade with the EU is pharmaceuticals. It is not cars. Cars are arguably a distant, although still very significant third place when it comes to European imports. Approximate numbers, we import about $120 billion in medicine and pharmaceutical products from the European Union. The second biggest import are mechanical and industrial machinery Think nuclear reactors, boilers, industrial equipment and then the third largest import after that is cars. So what happens with the pharmaceuticals? Extremely important. We'll talk a little bit more about pharmaceuticals later.

Keith Lanton:

So, again, as I said, as these details emerge, these are very important details, very important details, and the headlines can many times obscure how the details ultimately affect what the ultimate result here is. And the ultimate result we probably won't know for six or 12 months. But the markets are pricing in what they know at the moment. And what's interesting is, when we take a look at the markets this morning, we're seeing just a slight uptick in the markets here in the US, a little bit bigger uptick in Europe. The Europeans like the certainty of having a deal. August 1st was the original deadline. If a deal wasn't reached by August 1st, President Trump said he was going to impose 30% tariffs on the Europeans, and we'll talk a little bit more about the markets in a little bit. Another area where markets are focused is what's going on with steel and aluminum. Trump indicated 50% global steel and aluminum tariffs will stay in place, but the Vanderlijn said tariffs will be cut with a new quota system.

Keith Lanton:

Also coming out of this are reports that the EU would need to invest an extra $600 billion in the US, but European officials saying that reflects an assessment of European companies' investment plans rather than publicly funded initiatives. Perhaps the area where we do have some clarity is when it comes to energy, where both the ES and EU seem to be saying similar things that the European Union will buy $750 billion worth of US energy products and it will replace Russian gas and oil with significant purchases of US liquefied natural gas, oil and nuclear fuels. We are seeing energy sector higher this morning in the US. The EU says the purchases will span three years. Another area that's still subject to a lot of scrutiny has to do with semiconductors and arms, in other words, military purchases. European Union plans to buy an unspecified amount of military equipments, but the EU officials said the defense purchases were not part of the deal but would likely rise anyway due to recent NATO security pledges.

Keith Lanton:

So I mentioned the BBC out with the least first assessment of winners and losers in the US trade deal, suggesting that President Trump is coming out looking like a winner. It looks, like most commentators, that if you take a look at what the EU has given up, it's somewhere in the neighborhood of three-tenths to five-tenths of a percent knock to its GDP as a result of 15% tariffs between the EU and the United States on a broad basis Again, lots of details still to be analyzed. Us consumers, they're suggesting. Us consumers are going to be losers in the sense that they are going to pay more for goods that come in from Europe. Winner, at least at the moment markets under the current framework, the 15% tariff, while significant, is less than what it could have been and offers what investors crave, which is some certainty. A loser is European solidarity. The deal will need to be signed off by all 27 members of the EU, which have differing interests and differing reliance on the US when it comes to trade between the two countries. When we get to a country-specific situation, French Prime Minister Bayreuth commented it is a dark day when an alliance of free peoples brought together to affirm their common values and defend their common interests resigns itself to submission. So you can see he's not pleased. He was joined by at least two French government ministers, as well as Viktor Orban, the Hungarian leader, who said that Trump ate von der Leyen for breakfast.

Keith Lanton:

Another loser carmakers in Germany, Germans currently paying a 27.5% tariff. Under the Trump administration that will drop to 15%. But you say, well, that's a win. But those rates were significantly lower and many were hoping for a lower rate. So Germans are going to have a hard time, or harder time, competing with that 15 percent tariff and it could in theory, cost the German car industry billions of dollars.

Keith Lanton:

Car makers in the US are winners and, at least at the moment, tentative winners, and I'll explain that. President Trump arguably trying to boost US vehicle production, Car makers received a boost when they learned that the EU was dropping its own tariff on US-made cars from 10% to 2.5%. So our cars here in the United States will face a 2.5% tariff, European cars in the US will face 15%. So this kind of flips the script where European cars coming into the US were at 2.5% and our cars were at 10%. Now our cars are being taxed less going into the EU, so this could be good for US sales overseas over time. It takes a long time for that to materially impact, as you have to ramp up all sorts of factors in order to get the cars into Europe, if in fact, we can produce cars that the European markets are seeking, but when it comes to domestic production, US makers still have a uh a challenge, uh that many cars here are assembled abroad, in canada and mexico, and currently uh general motors, ford, spolantis cars that are uh assembled abroad. They face tariffs of up to 25 when they're brought into the us. So that's actually higher than this 15 rate. So, uh, you know, us car industry still uh, still uh up for uh Up for sort of a discussion or negotiation to see how the US car industry fares as more trade deals get struck or don't get struck, in order to evaluate the overall impact to US car makers.

Keith Lanton:

Eu pharmaceuticals we talked about pharmaceuticals being perhaps the biggest sector impacted by all this and we don't have complete clarity. In fact, the BBC is saying there is confusion around the tariff rate that will be levied on European-made drugs brought into the US. The EU wants drugs subject to the lowest possible rate. Trump is saying pharmaceuticals were not covered by the deal, but Vangeline said they were. Subsequently, a White House source confirmed that the 15% rate would be the rate. So we'll see, as more details emerge, exactly what's taking place with pharmaceuticals, which is very important given their size, Energy US energy clear winner, European Union going to buy $750 billion of US energy and liquefied natural gas. They are also going to, as we said, increase their investment in the US by $600 billion, but we also said that's individual companies and the aviation industry, which is largely Boeing and Airbus both winners in that there will not be any tariffs by either side on these strategic products. It will not attract any tariffs, including aircraft and plane parts, Also not subject to tariffs of certain chemicals and some agricultural products.

Keith Lanton:

One area that we haven't gotten clarity on is what's going to happen with beverages, spirits and vinegar for those who like their French wine or French champagne. We will get some more details with respect to that whether that falls under that 15% tariff Interesting. It gets lots of attention, Perhaps because it's something that consumers are very relatable to when it comes to the cost of French wine and champagne, as well as other European nations' beverages and spirits, but the total trade for the EU into the US in terms of imports of these spirits somewhere in the neighborhood of $2 billion to $3 billion. Compare that to the pharmaceutical industry at $120 billion and you can see, while it gets lots of attention, it's not nearly as significant in terms of the economic impact. So let's move forward.

Keith Lanton:

Let's take a look at financial markets this morning. We are seeing markets modestly higher this morning. Dow futures are now up just four points. S&p futures are up 10. Nasdaq futures are up 80 points. Arguably tension is shifting away from the European Union this morning and shifting to trade talks between the US and China, which are expected to extend their tariff truce that was set to expire on August 12th. Expectations are for an additional 90-day extension during trade talks this week. That report coming out of the South China Morning Post Separately reports that President Trump has froze restrictions on technology exports to China as part of the trade negotiations. That is according to the Financial Times. Sticking with trade news, South Korea is saying they are preparing a mutually favorable trade package. That is according to Reuters.

Keith Lanton:

As we take a look at the news flow in individual stocks this morning, Perhaps the biggest event is that Tesla CEO Elon Musk announced a $16.5 billion semiconductor contract between Samsung Electronics and Tesla. Samsung moving higher Reports that Samsung will be building facilities here in the United States. This morning Nike was upgraded to overweight from neutral at JP Morgan. That's an unloved stock and a love stock. Ge Vinova symbol. Gev was downgraded to neutral from buy at Guggenheim.

Keith Lanton:

We are seeing oil higher this morning, perhaps on the back of this trade deal, up $1.30 to about $66.50 per barrel, Gold and silver and copper all relatively unchanged, as well as the 10-year treasury, which is hovering right around 4.4%. So outside of oil, we're not seeing a lot of activity in either the bond market or in other currencies. European stocks mentioned trading higher by about half of a percent is the total number there. Some other news this morning Commerce Secretary Howard Lutnick said in an interview that the August 1 tariff deadline will not be extended. He said to Fox News that he wants TikTok under US ownership. Talk about the Republicans planning or considering redistricting in Texas, Ohio, Florida and Missouri in order to add quote unquote safe seats for the Republicans ahead of the 2026 midterms. The Democrats are desperately trying to counter this in the states that they have more influence within but have few options because of legal and political reasons. According to Politico, China wants to create a global cooperation on artificial intelligence. According to Reuters, Howard Lutnick also saying this morning that results of a semiconductor import investigation will be announced within two weeks and it could result in higher tariffs in the sector. There has been ongoing conflict on the border between Cambodia and Thailand and reports that they have agreed to a ceasefire after President Trump threatened to not negotiate trade deals with the nations until the fighting has stopped. That according to the New York Times.

Keith Lanton:

All right, let's take a look at what's going on this week. We mentioned earnings for the Magnificent Seven. We have Procter, Gamble, United Health Group and Visa with results tomorrow, Meta and Microsoft on Wednesday, AbbVie, Amazon, Apple and MasterCard on Thursday, Chevron and ExxonMobil on Friday, to name a handful of some of the larger companies reporting earnings so far. 80% of companies that have reported earnings have beat their earnings per share here in the third quarter and about one-third of the S&P 500 companies have reported earnings so far.

Keith Lanton:

Wednesday, FOMC announces its monetary policy decision, widely expected, to keep the Fed funds rate unchanged at four and a quarter to four and a half percent. Wall Street will be paying lots of attention to see whether Fed governors Waller and Bowman dissent. Should the central bank stand pat on interest rates? If we did get two dissents, that would be the first time since 1993, in about 30 years since we did get a dissent. Since 1993 and about 30 years since we did get a dissent. It's interesting to note that typically you see more dissent at a time when the Fed chair is going to change, which is something that we see currently, with Chairman Powell's term ending in April of next year. So, while something that hasn't happened in a long time, it's something that typically tends to happen when there is a changing of the guard. So we'll see what happens and see what other Fed governors and committee members choose to do.

Keith Lanton:

Friday we also get the all-important employment report, Bureau of Labor Statistics releasing the jobs report for July. Economists forecast 106,000 increase in non-farm payrolls after 147,000 gain in June. Unemployment rate expected to drop from 4.2 to 4.1%. A couple of statistics Congressional Budget Office's final call on the 10-year deficit from the big beautiful tax bill is $3.4 trillion. It will be of note and something to focus on, with the tariffs now getting some more clarity on these rates, how much of that $3.4 trillion could be offset by tariffs, something markets have not focused on as heavily. So I think, to be fair, you have to take a look at the tariffs, which are arguably a tax, and the revenue generated by the tariffs, and take a look at that relative to this budget deficit as a result of the extension of tax cuts. Budget deficit is a result of the extension of tax cuts. So you could look at it well, tax cuts have been extended but, on the other hand, tariffs in effect similar to a tax, so that $3.4 trillion may not be the true deficit per 10-year time period, depending on what happens with tariffs, and that's something markets and economists need to think.

Keith Lanton:

About the percentage of households in Silicon Valley that control 71% of the tech's regional wealth well, that's 0.1% of the households in Silicon Valley, with 71% of all that wealth in Silicon Valley. And to highlight the bifurcation here in the United States between the haves and the have-nots despite the economy being strong, despite the stock market doing well, we see a 5% drop in new credit card openings from major lenders in the second half. Perhaps this due to them getting more cautious about some of the impacts and some of the finances for a big portion of the population, and that would be those folks who are not making as much money. The credit card companies perhaps dialing back on those clients' concern that they will not be able to pay back their credit card debt if it gets too high.

Keith Lanton:

All right, let's take a look at financial markets. Barron's talking about the two thoughts. I would say that Barron's thesis that the markets can move higher, but there's always a but. You need to be cautious and careful, as some animal spirits are roaring. So we're in a market here where we have some tariff agreements, we have some imposition of new tariffs, some taking off bull tariffs, but certainly, if you go back 10 years for sure, tariffs was a word that was barely discussed when it came to economics, and today it's probably the first word that comes to mind. So we've got tariffs on our mind.

Keith Lanton:

We've got President Trump expressing skepticism towards Chairman Powell and the possibility that he will not serve out his full term, and that's making life uncomfortable, let's say, for markets and people who like to focus on certainty. So the question becomes why is the market at an all-time high? And this comes after last week, when the S&P was up 1.5% to an all-time high. Nasdaq was up 1% also record. The Dow, which is the laggard of the group, was up 1.3% and it's about 113 points away from an all-time high. Right now, dow futures up a little more than before, up 37. So we'll see if we can make a run at that, and despite the strong performance in the market, six of 10 investors polled by Gallup are concerned about the stock market.

Keith Lanton:

58% believe the worst of the recent market volatility is yet to come. Many cite President Trump as the reason for their fears. His push to deglobalize, turn inward could upend a lot of the status quo, which is something that makes people uncomfortable potentially could risk inflation because of the tariff policies. That's the bear case anyway. What's interesting is those of you who are Democrats. Well, you just need to just level check. Think about it. About nine out of ten Democrats are fearful that the worst is still ahead. Whether they're correct or not, of course, no one knows, but you need to be mindful of your biases when you're thinking about portfolio construction. So, at the very least, if you think things are bad, try and level check whether or not you're being objective or not. Barron's saying things just aren't that bad.

Keith Lanton:

While many investors are worried about the economy, job market remains strong. We'll get a better indication when that July payroll rolls around on Friday. Workers that do have jobs are making more than before. Median average hourly earnings have grown nearly 2% faster than inflation for the past two years. Artificial intelligence should continue to provide a big boost to markets as productivity hopefully improves.

Keith Lanton:

And yes, there are risks. Barron acknowledges the market is super concentrated. And yes, there are risks. Barron's acknowledges the market is super concentrated. Any wobbles at the top would be problematic for the S&P as a whole. Top 10 stocks now make up 40% of the S&P 500's market capitalization. If you go back to the dot-com peak in 1999, that number was closer to 10%, 20%. The market, however, isn't as expensive as it might appear. Those 10 stocks that make up that top tier of the S&P 500 traded about 27 times earnings. If you go back to 1999, those 10 stocks that the top market capitalization in the year 2000 had a PE not of 27, but of 44. Ape not of 27, but of 44.

Keith Lanton:

Now, as your animal spirits are getting the best of you, keep in mind that we are in a period here where we are seeing some froth barons pointing out. In particular, with meme stocks, speculators have been buying up shares that are heavily shorted. What that means is that these are stocks that have been borrowed and sold by those who will bet they decline and what is happening is other investors are buying those stocks, forcing those folks who borrow those stocks to feel pain as the stocks rise and they therefore have to buy back the stock that they sold short as they feel that pain and that is further fuel onto that fire for that stock and the stock tends to accelerate to the upside, enriching those who are squeezing the shorts, as it's called. But when you see this sort of activity, it's typically in a period of where market participants are feeling particularly positive about the overall market. Somewhat of a contrarian indicator. Retail traders or individual investors are now dominating markets Again, something you see towards periods of euphoria, seeing lots of activity in something called zero day to expiration or zero DTE options.

Keith Lanton:

These are options contracts with a lifespan of a day or two, and these options provide traders with an opportunity to make new money every single day. This is kind of like almost like in-game sports betting. You know it's a pitcher going to throw a strike or a ball. This is something that again is concerning in that market participants feel so emboldened as to be able to feel that they can put their capital on the line and make very risky bets. The trading that we're seeing from David Rosenberg of Rosenberg Research. Trading that we're seeing from David Rosenberg of Rosenberg Research. He is saying that individuals are feeling more optimistic, more bravado, as they have seen their investments, their core investments, increase in value, and he's saying that that is leading to wealth gains and, as this wealth gains that the individuals are enjoying, it is offsetting some of the higher prices that they're seeing for goods and services. So this is something that market participants need to be mindful of. Statistic that did come out last week. Which came out was that margin debt, which is the amount of debt that's being borrowed against stocks, hit a trillion dollars for the first time. So again, another indication that individuals are feeling optimistic if they are borrowing money in order to buy stocks. So, although Barron's is cautiously optimistic long term, they do suggest that there is some built up euphoria in the markets and need to be mindful of that.

Keith Lanton:

I talked about pharmaceutical stocks, european pharmaceutical stocks. Barron's, before the trade deal, wrote an article about European pharmaceutical stocks looking relatively inexpensive. Talking about the uncertainty of tariffs, perhaps we have some more certainty, although the tariff picture on pharmaceuticals is perhaps gray, but the article pointing out that the EU shipped about $140 billion worth of medicine and pharmaceutical products across the Atlantic, which is significantly higher than the amount of cars that were coming this way. The top 10 holdings in the European Exchange traded fund for our pharmaceutical companies Roche, novartis, astrazeneca and Novo Nordisk. Investors have marked down these companies recently, as this sector is down about 1% since peaking in September and the broader European stocks are up 10%, and this is due to some of the clouds that were on the horizon. We will see as we get further clarity if any of these clouds lift. But if they lift, where could you potentially look for opportunities?

Keith Lanton:

Morningstar gives four European pharmaceutical stocks its five-star rating. Roche and GSK, formerly GlaxoSmithKline, are among its top picks. They also have two smaller companies that they think are worth taking a look at in Europe Electra, a Swedish producer of radiotherapy devices, and Danish equipment maker Coloplast. Ubs analysts put buy ratings on four of the seven companies that they recently covered. Larger companies that they speak favorably of here. The four are Roche, novo Nordisk known for its weight loss drug Ozempic Los drug ozempic Sanofi and AstraZeneca is what they are suggesting keeping an eye on.

Keith Lanton:

So, as we stick with this tariff theme and we talked about the auto industry Barron's suggests taking a look at the auto company here in the United States and that is General Motors GM. On Tuesday they reported better than expected second quarter results. Stock dropped 8%. Then on Wednesday the shares jumped 8%, despite Trump announcing a trade deal with Japan that lowered import tariffs on cars from 15% to 15%. From 25% by Thursday, general Motors trading at 5.2 times 2025 earnings. Trading at 5.2 times 2025 earnings just saying that the top 10 companies in the S&P 500 for market cap are at 27 times. So five times is a lot lower than 27. That low valuation perhaps undeserved Earnings weren't really a problem.

Keith Lanton:

Despite the drop, citigroup analysts saying the tariffs, which investors knew about, masked what would have been a record performance in North America. Barron suggesting that the worries are overblown. The Japan deal has the potential to hurt GM, which imports cars from South Korea and Mexico. Both those countries face 25% tariffs. What's more, general Motors is paying more than the Japanese automakers for steel, aluminum and copper. But there are some shades of optimism that the US will work out a trade deal with South Korea similar to the Japanese deal.

Keith Lanton:

But we know General Motors can't do much about the tariffs other than lobbying to change them. But what it does control are its capital return policies to change them. But what it does control are its capital return policies and we talked about this last week, and that is either dividends or, in this case, buying back stock, and General Motors has spent almost $25 billion on share repurchases over the past three years, causing the number of shares outstanding to drop to $950 million from $1.5 billion, so reducing the share count by over one-third. This is an example, perhaps, of what we talked about, which is Warren Buffett and Berkshire Hathaway. When you see Berkshire Hathaway buying back their stock, he believes it's the best use of their capital. The stock is typically at a low valuation. Arguably, the proof will be in the history, so to speak, but General Motors allocating their capital to their stock at a point when the stock is at historically low valuation.

Keith Lanton:

Gm paused its repurchases in the second quarter amid tariff uncertainty, but recently restarted them in July. General Motors has $4.3 billion in share purchase authorizations remaining. This is not insignificant for a company with a $50 billion market cap and, despite the tariff uncertainty, general Motors is expected to generate about $11 billion in free cash flow over the next 12 months. $11 billion in free cash flow, $50 billion market capitalization Analysts are suggesting that General Motors is significantly undervalued, providing an opportunity to enhance shareholder value by purchasing shares.

Keith Lanton:

The analyst here at Oakmark, joe Pittman, saying it is a great use of cash for them them being General Motors and investors should be the beneficiary of those buybacks. At current levels, general Motors could theoretically reduce its share count by another 440 million shares in just two years if it were to take its free cash flow over the next two years and use it to buy back stock. Doesn't mean they will do that, but if they were to do that, they would leave their 2027 earnings at about $20 a share, and that's based on current projections. That's up from about $10 per share this year. So interesting situation. We'll see how they deploy that cash and see how the stock of General Motors performs over the next couple of years.

Keith Lanton:

That's everything I've got.

Alan Eppers:

Thank you for listening to Mr Keith Lanton. This podcast is available on most platforms, including Apple Podcasts, Spotify and Pandora. For more information, please visit our website at www. heraldlantern. com.

Sophie Cohen:

Opinions expressed herein are subject to change and not necessarily the opinion of the firm. Past performance is no guarantee of future results. The information presented herein is for informational purposes only and is not intended to provide personal investment advice. It is important that you consider your tolerance for risk and investment goals when making investment decisions. Investing in securities does involve risk and the potential of losing money. The material does not constitute research, investment advice or trade recommendations.