Technical negotiations between the United States and Iran continue in Doha with Qatar and Pakistan serving as intermediaries, contributing to a modest 1% reduction in crude oil prices. However, financial markets remain wary of escalation risks, as evidenced by rising UK government bond yields reflecting investor concerns over the diplomatic uncertainties.

The UK economy shows signs of deceleration, particularly in manufacturing which cooled during June, whilst major retailers across consumer sectors reported declining profitability stemming from heatwave disruptions and competitive pressures. By contrast, the Eurozone displays relative economic stability, with inflation moderating to 2.8% and factory production logging its strongest quarter in four years, though global currency volatility persists as the yen reaches its weakest level in four decades against the dollar.