Good Morning! U.S. economy grew at a 3.0% rate in second quarter, with Lutnick saying The Trump-era economy has "officially arrived." Trump’s tariff deals could also flip the “sell America” trade and pull investors back into U.S. stocks.

LPs have had enough of continuation vehicles and are choosing to cash out, with 85% to 92% of investors opting to sell, up from 75% to 80% last year. Mega mergers also continue, with Palo Alto Networks merging with CyberArk Software in $25 billion deal.

Plus: Microsoft joined the $4 trillion market cap club after profits soared 25%, the Fed kept interest rates steady despite pressure from Trump, and High Noon recalled some Celsius energy drinks that were accidentally filled with vodka seltzer.

This luxury mountain retreat is making some wealthy families (and the investors cashing in) very, very happy. See it for yourself.

SQUEEZ OF THE DAY

Money Anxiety a Part-Time Job Now

Americans are now spending nearly four hours a day thinking about money, according to a new study by Empower. That’s basically a part-time job, unpaid, anxiety-inducing, with no time off. From grocery runs to gas pumps, money is the background music to everyone’s day.

“People check their money like they're checking the weather,” said Rebecca Rickert, head of communications and consumer insights at Empower. And judging by the forecast, it’s mostly cloudy with a high chance of financial stress.

Top worries include bills (57%), inflation (51%), and housing costs (34%), with debt (30%) and even tariffs (28%) not far behind.

Millennials and Gen Z are more concerned with rent, job stability, and debt, while Boomers are glued to their portfolios and retirement funds. Older Americans are focused on preserving wealth, while younger ones are still trying to build it.

The stress is turning passive panic into action. About half of Americans say their financial anxiety is pushing them to budget better or spend less. 40% of millennials proactively work to improve their finances when the worry sets in, and 25% of Americans tweak their spending habits monthly, usually by skipping dinners out or holding off on small splurges.

But there's a disconnect between the stress and the receipts. Banks say card spending is still strong this quarter, meaning people say they’re cutting back, but the numbers don’t exactly scream frugality. As Rickert puts it, a “cutback” might just be one less takeout order per month, more of a micro-adjustment than a true lifestyle shift.

Takeaway: It’s no surprise that financial anxiety is at an all-time high in the era of social media flexing, where everyone feels like they’re falling behind. One thing is certain: Americans love to spend. The U.S. accounts for over a third of global consumption, more than any other country. So the money stress? It’s probably not going anywhere anytime soon.

HEADLINES

Top Reads

• U.S. economy grew at a 3% rate in Q2, better-than expected (CNBC)

• Trump owns the U.S. economy's performance now, Lutnick says (Axios)

• Microsoft and Meta fuel $500-billion gain in AI stocks (YF)

• Tariff deals could flip "sell America" trade, pull investors back to U.S. stocks (Axios)

• Private equity backers refuse to roll over investments as returns dwindle (FT)

• Palo Alto Networks makes $25 billion deal for CyberArk (Axios)

• Microsoft tops $4 trillion in market cap after hours (CNBC)

• Microsoft and Meta fuel $500-billion gain in AI stocks (YF)

• Recall warns some Celsius energy drink cans accidentally contain alcohol (NBC)

• Fed keeps interest rates unchanged for fifth-straight time (CNN)

• KKR partners with Capital Group to launch fund blending public, private equity (YF)

• KKR raises $6.5B for private asset-backed deals (BB)

• KKR pushes further into healthcare with deal for pharma royalty business (WSJ)

• Trump says India will face 25% tariff, holds firm on 8/1 deadline (YF)

• Venture capitalist Antonio Gracias defends Doge role after pressure on his fund (FT)

• Valuations and bubbles (FT)

• Macron says EU wasn’t ‘feared’ in trade talks with Trump (BB)

• Terror at Blackstone: The harrowing hours at 345 Park Avenue (BB)

• The oddball golf putter company that PE just bought for $200M (WSJ)

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The Lionshead property in Vail has all the luxuries you’d expect in a ~$16 million mountain vacation home-access to the slopes, panoramic views, a heated deck… 

But forget all that. Here’s the real kicker:

You can invest in this property (and its revenue stream) via Pacaso, the platform that turns fractional shares of high-end vacation homes into recurring profits.

Wealthy families share in the ownership, Pacaso handles the logistics, and you get a slice of the $1.3T vacation home market. 

Don’t miss out. See all of Pacaso’s luxury offerings here.

CAPITAL PULSE

Markets Rundown

Market Update

• The Fed held rates at 4.25%–4.50%, and Chair Powell emphasized no decision yet made for September

• Bond yields rose, notably the 2‑year Treasury up ~7 bps to 3.94%, while the 10‑year also climbed

• The U.S. dollar extended gains, and WTI oil jumped nearly 4% after a presidential sanctions deadline to Russia over Ukraine

Economic Data Highlights

• The advance Q2 GDP reading showed +3.0% annualized growth, rebounding sharply from Q1’s −0.5%

• Underlying domestic demand rose just ~1.1%, the weakest pace recorded since 2022

• While the headline bounce was strong, consumer and business appetite remains cautious amid trade uncertainty

Reported Earnings 

• Microsoft (MSFT) - delivered a strong beat on both earnings and revenue, powered by Azure/cloud and AI momentum

• Meta Platforms (META) - blew past estimates with EPS of $7.14 and revenue of $47.5B, driven by robust ad growth and aggressive AI investment

• Robinhood (HOOD) - exceeded expectations—EPS doubled to $0.42 and revenue rose ~45% to $989M, aided by crypto uptake and Bitstamp acquisition momentum.

Earnings Today

• Amazon (AMZN) – Reporting after close; focus on AWS/AI growth and exposure to trade uncertainties

• Apple (AAPL) – Also after close; watch product demand trends and AI integration across services

• Coinbase (COIN) – Investors focused on trading volume trajectory and recent international expansion efforts

Movers & Shakers

• (+) Wingstop ($WING) +27% after strong earnings and growth projections.

• (+) Peloton ($PTON) +19% because of an upgrade by UBS.

• (–) Avis ($CAR) -15% after an earnings miss

Private Dealmaking

• Palo Alto Networks agreed to buy CyberArk for $25 billion

• EQT agreed to buy Fujitec for $2.7 billion

• Ramp, a financial ops platform, raised $500 million

• MapLight Therapeutics, a biotech developing CNS disorder treatments, raised $373 million

• Ambience Healthcare, an AI scribe startup, raised $243 million

• Marex Group acquired Winterflood Securities for $130 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

BOOK OF THE DAY

The Art of Clear Thinking

Description: A tactical guide to decision‑making distilled from the intense world of combat aviation. Hasard Lee, a seasoned F‑16 and F‑35 pilot, shares cockpit stories and life‑saving frameworks like the ACE Helix—Assess, Choose, Execute—to help everyday leaders and professionals make clearer, faster, and more resilient decisions under stress.

Rating:
• Amazon: 4.7 / 5
• Goodreads: 4.2 / 5

Book Length: 272 pages
Audible Length: 6 hrs 37 mins

Ideal For: Leaders, high-stakes decision-makers, creatives, executives, and anyone seeking a stronger mental edge in fast, complex environments.

“The Art of Clear Thinking pulls you in like the G‑forces of a fighter jet. …This book will sharpen your ability to stop, see clearly, and make the key choices that may change the entire course of your future.” — Harvey Karp, MD, CEO of Happiest Baby, Inc.

DAILY VISUAL

Economy Bounces Back

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• Purpose-built platform for alt investment managers 

• Automates high-effort admin work like research and meeting prep

• Pulls from internal docs, third-party systems, market data, and more

“This efficiency has saved our team nearly 3,000 hours” – VP at Private Equity Firm with $65B AUM. 

Your weekend awaits; demo Blueflame right here.

DAILY ACUMEN

Attention

Everyone talks about capital allocation.
But few track how they allocate their attention.

If your brain is a portfolio, your tabs are positions. Every podcast, tweet, or hot take is either alpha... or distraction.

The best investors read widely. But they also read deeply.
The best founders ship fast. But they also protect time for thinking.

Attention isn’t just mental real estate. It’s a scarce resource.

And like any scarce asset, it should be guarded, diversified, and reinvested.

ENLIGHTENMENT

Short Squeez Picks

• 11 leadership behaviors that build high-performing teams

• The biggest red flag someone is a bad boss

• What happens to your brain when you use ChatGPT?

• The hidden cost of being dependable 

• Why setting boundaries makes you more valuable at work

MEME-A-PALOOZA

Memes of the Day

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