WEEKLY INSIGHT. Looking ahead, the Eurozone and U.S. will be releasing their 2018Q2 GDP numbers and employment report on Friday respectively.

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1 WEEKLY INSIGHT September 3, 2018 Awaiting Canada for the revised NAFTA agreement The breakthrough in US-Mexico trade talk drove the Nasdaq Composite to cross the 8,000 symbolic level marking a record high. The U.S. and Mexico reached a bilateral deal last week to amend the 1993 trade pact which may eventually replace the NAFTA. Whether a trilateral pact can be strike by including Canada into the revised trade deal remains an uncertainty as the Trump administration showed minimal intend to compromise with the Canadian proposals. With 99% of the S&P 500 companies reported their corporate earnings for 2018Q2, market sentiment is once again driven by macro policies and trade discussions. The US S&P 500, Euro Stoxx 50 and Nikkei 225 ended the week +0.93% w/w, -1.01% w/w and +1.17% w/w, respectively. The yield on the 10-year Treasury rose to 2.86% along with a stronger Japanese yen traded at against the US dollar on Monday morning. The US Conference Board s Consumer Confidence Index marked its highest level since 2000 supported by the solid labor market and prospects for higher wages. US consumers spending remains robust despite the trade jitters and represent approximately 70% of the economic activities in the U.S. In addition, U.S. GDP growth for 2018Q2 was upwardly revised to 4.2% from an earlier 4.1% estimate. British Prime Minister Theresa May rejected the possibility of a second referendum on Brexit as it would be a gross betrayal of democracy after the People s Vote campaign group called for a second Brexit referendum. EU s chief Brexit negotiator, Michel Barnier, said the EU is prepared to offer the U.K. a close partnership that is unseen with any country outside the bloc but strongly opposed to May s Chequers proposals on future trade. The common rulebook approach would be too dogmatic and he believed the Norway model, under which there would be free movement of people and large payments to Brussels is the only viable option. China s private manufacturing survey - Caixin/Markit Manufacturing Purchasing Managers Index (PMI) fell to 50.6 in August from July s 50.8, inline with economists forecasts and registered its weakest reading since June 2017 as export orders continue to shrink for a fifth month. In addition, the Trump administration said the U.S. is prepared to impose tariffs on another $200 billion worth of Chinese imports later this year. Looking ahead, the Eurozone and U.S. will be releasing their 2018Q2 GDP numbers and employment report on Friday respectively. CHART OF THE WEEK Who needs gold? In a world where yields and equities are rising, who needs gold? Apparently the answer would be a tart Nobody. Gold is headed for a fourth straight monthly decline, the worst slump since The moribund metal, which touched a 12-month low on Thursday, could finally have a relief in sight, according to at least one technical gauge. The GTI Global Strength Indicator breached a so-called oversold level last week for the second time in less than a month which generally announced a reversal. Investors looking for an autumn trade recommendation could do worse than buying U.S. gold miners. On three previous occasions, when bullish bets on the precious metal were close to their current low levels, the NYSE Arca Gold BUGS Index posted decent double-digit returns. The gauge of mining stocks clocked an average one-year return of more than 60 percent from the troughs in speculator s long gold bets in 2008, 2013 and As the quote says : Money is made by discounting the obvious and betting on the unexpected Gold Futures Open Interests in Thousands (L) Rebased NYSE Gold BUGS Index Gold Spot $/Oz (Log) Source: Bloomberg, CBH 1

2 EUROPE MSCI EUROPE % -0.4% -2.1% 14 STOXX % -0.2% -1.8% 15 STOXX 50 3, % -0.4% -3.2% 14 CAC 40 5, % 0.2% 1.8% 14 DAX 12, % -1.9% -4.3% 13 FTSE 100 7, % -3.2% -3.3% 13 IBEX 35 9, % -0.7% -6.4% 12 MIB 20, % -7.0% -7.2% 11 PSI 20 5, % -0.8% 0.6% 16 SMI 8, % 6.1% -4.4% 16 MSCI EUROPE 1W 1M 3M YTD Est. P/E Cons. Disc. 0.4% -1.6% -4.8% -1.3% 13 Cons.Staples -0.7% -1.4% 3.1% -2.6% 19 Energy -1.6% -3.8% -2.7% 7.2% 13 Financials -0.9% -5.5% -2.9% -11.2% 11 Health Care -0.1% -0.9% 6.1% 3.9% 17 Industrials 0.6% -0.4% 1.2% 0.8% 18 Inf. Technology 0.1% 1.9% 4.1% 12.3% 24 Materials 0.2% -3.9% -4.7% -3.4% 13 Telecom Serv. -3.4% -7.4% -6.5% -16.0% 13 Utility -0.7% -3.3% -0.2% -1.2% 14 France CPI YoY Aug F [2.3%] 13-Sep18 German IFO Business Climate Aug Italy CPI YoY Aug F [1.7%] 14-Sep18 Italy Business Confidence Aug Euro area GDP QoQ 2Q F 0.4% 07-Sep18 Spain CPI YoY Aug P 2.3% 2.2% France PMI Manufacturing Aug F Sep18 Germany Unemployment Aug -8.0K -8 Ireland Unemployment Aug [5.1%] 04-Sep18 Denmark Unemployment Jul 0.0% 3.2% Netherland CPI YoY Aug [2.1%] 06-Sep18 France CPI YoY Aug P 2.3% 2.3% EU GE CH UK 2Y -0.6% -0.1% -0.1% -0.7% 10Y 0.3% -0.2% 0.2% -0.1% 2Y -0.6% 0.0% -0.2% -0.3% 10Y 0.3% 0.1% 0.4% 1.8% 2Y -0.7% 0.0% -0.4% -0.7% 10Y -0.1% 0.0% 0.2% 0.3% 2Y 0.7% 0.0% -0.1% 0.0% 10Y 1.4% -0.1% -0.3% -0.2% Corporates 1-5Y* HY IG 5-10Y* 1.0% -0.1% 0.2% -0.4% 10+Y* Y* 3.8% -0.3% 0.9% -0.5% 5-10Y* Y* * quoted in EUR vs. EUR AUD % -4.3% -4.7% CHF % 2.5% 4.1% GBP % -1.8% -0.8% JPY % -1.2% 5.0% USD % 0.8% 3.5% BRL % -7.6% -15.4% MXN % 5.1% 6.6% NOK % -1.7% 1.2% RUB % -6.8% -11.5% SEK % -2.8% -7.3% ECB 13-Sep % 0.00% 0.00% 0.00% BOE 13-Sep % 0.75% 0.75% 0.50% SNB 20-Sep % -0.80% -0.80% -0.75% Euro GE FR IT ES PT UK CH GDP (% change Y/Y) GDP (% change Q/Q) Inflation rate (Y/Y) Unemployment rate (%) Debt (as % of GDP)

3 NORTH AMERICA MSCI NORTH AM. 2, % 6.9% 8.0% 18 S&P 500 2, % 7.3% 8.5% 18 DOW JONES 25, % 6.3% 5.0% 17 NASDAQ 8, % 9.0% 17.5% 24 TORONTO 16, % 1.3% 0.3% 16 MEXICAN IPC 49, % 10.9% 0.4% 17 MSCI USA 1W 1M 3M YTD Est. P/E Cons. Disc. 1.7% 4.7% 9.9% 17.2% 23 Cons.Staples -0.4% 0.3% 8.4% -6.2% 18 Energy -0.2% -3.7% -1.8% 3.2% 19 Financials 0.3% 1.0% 4.0% 1.1% 13 Health Care 1.0% 4.2% 12.6% 12.2% 17 Industrials 0.4% -0.1% 3.6% 1.6% 18 Inf. Technology 2.0% 7.1% 9.0% 20.6% 20 Materials 0.3% -0.9% 1.8% -2.1% 15 Telecom Serv. -1.5% 3.2% 6.8% -6.7% 11 Utility -0.6% 0.5% 4.8% 1.3% 17 Uni. Of Michigan Consumer Index Sep P [96.2] 14-Sep18 Conf. Board Consumer Confidence Aug US PMI Manufacturing Aug Sep18 US GDP QoQ 2Q S 4.0% 4.2% Canada rate decision Sep 5 1.5% 05-Sep18 US MBA Mortgage Application Aug 24 [4.2%] -1.7% US Initial Jobless Claims SA Sep K 06-Sep18 US Initial Jobless Claims SA Aug K 213 US Non Farm Payroll Aug 193.0K 07-Sep18 Canada GDP QoQ 2Q Mexico CPI Aug 4.9% 07-Sep18 Uni. Of Michigan Consumer Index Aug F US CANADA 1-3Y 2.6% 0.0% - 0.3% - 0.4% - 3-5Y 2.7% 0.0% - 0.3% %- 5-7Y 2.8% 0.0% - 0.5% %- 7-10Y 2.9% -0.1% 0.6% -1.5% 1-3Y 2.0% 0.1% - 0.3% - 0.7% - 3-5Y 2.1% 0.2% - 0.3% - 0.2% - 5-7Y 2.2% 0.3% - 0.4% - 0.1% Y 2.2% 0.3% 0.5% 0.0% Corporates 1-5Y* 3.4% 0.0% - 0.7% - 0.3% Y* 4.0% -0.1%- 1.0% %- 10+Y* 4.6% -0.6% 0.5% -5.0% IG HY 1-5Y* 6.2% 0.1% - 2.2% - 2.1% Y* Y* 7.0% 0.0% 2.2% -0.4% * quoted in USD vs. USD AUD % -5.0% -7.9% CHF % 1.7% 0.6% EUR % -0.8% -3.4% GBP % -2.5% -4.1% JPY % -2.0% 1.5% BRL % -8.2% -18.3% ILS % -1.1% -3.5% MXN % 4.3% 3.0% RUB % -7.5% -14.5% FED 26-Sep % 2.25% 2.50% 1.70% BOC 05-Sep % 1.50% 1.70% 1.15% BdeM 04-Oct % 7.75% 7.80% 7.50% US CA MXN GDP (% change Y/Y) GDP (% change Q/Q) Inflation rate (Y/Y) Unemployment rate (%) Debt (as % of GDP)

4 ASIA MSCI ASIA PACIFIC % -3.8% -4.7% 13 NIKKEI , % 3.0% 0.4% 16 HANG SENG 27, % -8.5% -6.8% 11 SHANGAI 2, % -12.0% -17.6% 11 SENSEX 38, % 9.4% 13.5% 21 KOSPI 2, % -4.1% -5.9% 9 S&P/ASX 200 6, % 5.1% 4.2% 16 MSCI ASIA-PAC 1W 1M 3M YTD Est. P/E Cons. Disc. 1.6% -0.9% -4.8% -7.9% 13 Cons.Staples 0.3% -1.9% -5.3% 0.0% 23 Energy 0.2% 0.3% 3.5% 6.0% 11 Financials 0.7% -1.6% -4.0% -7.9% 10 Health Care 1.3% 3.7% 2.5% 12.2% 28 Industrials 1.5% -0.5% -4.6% -6.7% 12 Inf. Technology 2.2% -0.7% -5.7% -5.2% 15 Materials 0.9% -2.4% -4.4% -7.9% 12 Telecom Serv. 0.6% 2.3% 4.4% -2.2% 15 Utility 0.7% -2.7% -3.0% 2.5% 14 Japan Industrial production Jul F [-0.1%] 14-Sep18 Macau Unemployment Rate Jul [1.8%] 1.8% Japan Unemployment Rate Aug [2.5%] 28-Sep18 Hong-Kong Retail Sales Jul 10.0% 7.8% South Korea decision rate Oct 18 [1.5%] 18-Oct18 Australia Building Approval MoM Jul -2.0% -5.2% Australia rate decision Sep 4 1.5% 04-Sep18 Japan Industrial Production Jul P 0.2% -0.1% Taiw an CPI YoY Aug 1.7% 05-Sep18 Japan Unemployment Rate Jul 2.4% 2.5% Australia GDP QoQ 2Q 0.7% 05-Sep18 Japan CPI YoY Aug 0.8% 0.9% JAPAN AUSTRALIA 1-3Y -0.1% 0.0% -0.1% -0.1% 3-5Y -0.1% 0.0% -0.2% -0.1% 5-7Y 0.0% 0.0% -0.2% -0.2% 7-10Y 0.0% -0.1% -0.4% -0.2% 1-3Y 2.0% 0.1% 0.7% 1.6% 3-5Y 2.1% 0.2% 1.2% 2.5% 5-7Y 2.3% 0.2% 1.6% 2.9% 7-10Y 2.5% 0.2% 1.9% 2.9% Corporates 1-5Y* 0.3% 0.0% -0.1% 0.1% IG 5-10Y* Y* * quoted in JPY vs. USD AUD % -5.0% -7.9% HKD % -0.1% -0.4% JPY % -2.0% 1.5% NZD % -5.4% -6.7% SGD % -2.5% -2.6% CNY % -6.2% -4.8% IDR 14, % -5.5% -7.9% INR % -5.0% -10.0% KRW 1, % -3.2% -4.1% MYR % -3.1% -1.5% RBA 04-Sep % 1.50% 1.50% 1.50% BOJ 19-Sep % -0.10% -0.10% 0.00% RBNZ 26-Sep % 1.75% 1.75% 1.75% RBIN 05-Oct % 6.50% 6.55% 6.00% PBOC % 4.35% 4.30% 4.35% CN JP IN AU NZ SK HK SI GDP (% change Y/Y) GDP (% change Q/Q) Inflation rate (Y/Y) Unemployment rate (%) Debt (as % of GDP)

5 EM & OTHER COUNTRIES MSCI EMERGING MKT 1, % -5.8% -8.8% 12 MSCI EM LATAM 2, % -3.8% -12.9% 13 MSCI EAST EUROPE % -2.1% -6.2% 7 MSCI SOUTH AFRICA 1, % 4.4% -6.7% 16 TEL AVIV 25 1, % 10.2% 10.3% 15 RUSSIAN RTS 1, % -6.1% -5.4% 6 FTSE/JSE AFRICA 52, % 5.4% -0.1% 15 IBOVSPA BRAZIL 76, % -0.1% 0.4% 11 MSCI EM 1W 1M 3M YTD Est. P/E Cons. Disc. -1.5% -4.9% -9.7% -19.6% 17 Cons.Staples -1.3% -4.8% -5.5% -10.6% 24 Energy 1.5% -0.4% 1.5% 6.6% 9 Financials 0.3% -4.3% -6.1% -10.8% 9 Health Care 1.4% 3.3% -6.2% -2.0% 30 Industrials 1.0% -2.7% -7.6% -12.4% 12 Inf. Technology 1.8% -1.6% -6.6% -5.8% 15 Materials 0.6% -3.3% -2.1% -4.4% 11 Telecom Serv. -0.9% -3.1% -3.3% -15.4% 16 Utility 0.2% -6.3% -7.1% -8.2% 12 Brazil GDP YoY 3Q [1.0%] 30-Nov18 Brazil Total Outstanding Loans Jul [3130.1B] B South Africa Trade Balance Aug [-4.7B] 28-Sep18 Brazil Inflation MoM Aug [0.5%] 0.7% China Manufacturing PMI Aug Sep18 Brazil GDP YoY 2Q 0.0% 1.0% Brazil Industrial Production Jul 2.0% 04-Sep18 South Africa Trade Balance Jul 5.4B -4.7B Russia CPI YoY Aug 3.1% 05-Sep18 China Manufacturing PMI MoM Aug Brazil CPI MoM Aug 0.0% 06-Sep18 Brazil GDP QoQ 2Q 0.0% 0.2% IL RU 2Y 0.3% 0.0% 0.0% -4.4% 10Y 2.0% -0.2% -0.6% -2.7% 2Y 7.8% 0.2% -1.5% -1.0% 10Y 8.8% -0.4% -8.3% -6.8% BZ CL 2Y 8.9% -0.1% 0.6% - 10Y 12.2% -0.4% -6.4% - 2Y 3.7% 0.1% -1.8% -2.9% 10Y 4.8% -2.8% - - vs. USD ARS % -32.3% -49.5% BRL % -8.2% -18.3% CLP % -7.4% -9.9% ILS % -1.1% -3.5% RUB % -7.5% -14.5% SA 2Y 7.7% 0.0% 1.4% 3.9% 10Y 9.0% -0.3% -0.1% 3.6% ZAR % -13.5% -15.7% BOI 08-Oct % 0.10% 0.15% 0.10% BCB 19-Sep % 6.50% 6.70% 6.55% BCCE 04-Sep % 2.55% 2.70% 2.50% CBR 14-Sep % 7.25% 7.20% 7.25% SARB 20-Sep % 6.50% 6.55% 6.50% IL RU SA BZ AR CL GDP (% change Y/Y) GDP (% change Q/Q) Inflation rate (Y/Y) Unemployment rate (%) Debt (as % of GDP)

6 COMMODITIES LAST LAST 6M 1W 3M YTD COMMODITY INDEX % -7.7% -5.0% PRECIOUS METALS 1, % -8.5% -9.3% GOLD ($/oz.) 1, % -7.3% -7.6% SILVER ($/oz.) % -11.5% -14.2% PLATINUM ($/t oz.) % -14.0% -16.9% GOLD $/oz ENERGY % 1.4% 10.5% WTI CRUDE ($/bbl.) % 5.6% 18.9% BRENT CRUDE ($/bbl.) % 1.5% 21.3% NATURAL GAS ($/MMBtu) 3 0.1% -1.1% 3.7% INDUSTRIAL METALS % -13.6% -14.7% STEEL ($/T.) % -6.0% 30.7% ALUMINUM ($/mt) 2, % -8.2% -6.6% COPPER ($/lb.) % -14.1% -20.3% SOFT COMMODITIES % -17.8% -22.2% CORN ($/bu.) % -11.8% -4.9% WHEAT ($/bu.) % -3.1% 13.2% WTI CRUDE OIL $/bbl IMPRINT Publication date : All data as of :

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