DAILY MARKETS BRIEF I LOCAL MARKETS

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1 DAILY MARKETS BRIEF I LOCAL MARKETS Last Daily % YTD % Dividend % MSCI Lebanon % % Development and Reconstruction Solidere A % % Solidere B % % Banking Audi Listed % % 10.96% BLC Listed % 0.00% BOB Listed % 0.00% Byblos Listed % % 10.02% BEMO Listed % 19.23% BLOM Listed % % 11.95% Trading RYMCO % % Industrial BEIRUT STOCK EXCHANGE Holcim % 14.80% Ciments Blancs % 26.22% MSCI LEBANON INDEX - 30 DAYS CHART LEBANESE USD SOVEREIGN CURVE Lebanon s real estate sector continued to witness one of its worse performance in many years due to the regional tension and political paralysis in the country, Bank Audi said in its recent report. The report believes that the prices of real estate will eventually swing up in the future due to the small size of the market and increased demand. The excessive use of technology in the banking sector may increase the risk of account hacking and hence money laundering operations, Joseph Torbey, the president of the Executive Committee of the Union of Arab Banks said Thursday. GCC EQUITY INDICES Last Price Daily % YTD % Bahrain (BB) % -0.51% Kuwait (KWSE) % 5.82% Muscat (MSM30 Index) % % Qatar (QE Index) % 16.18% KSA (TADAWUL) % 10.67% Dubai (DFM) % % Abu Dhabi (ADX) % 13.84% LOCAL/GCC FOREIGN EXCHANGE Cross Last Price Lebanese Pound Spot USD/LBP Bahraini Dinar Spot USD/BHD Kuwaiti Dinar Spot USD/KWD Omani Rial Spot USD/OMR Qatari Riyal Spot USD/QAR Saudi Riyal Spot USD/SAR UAE Dirham Spot USD/AED Source: Daily Star, Gulf Base MSCI GCC INDEX - 30 DAYS CHART GCC INDICES DAILY PERFORMANCE

2 DAILY MARKETS BRIEF I EQUITY MARKETS UNITED STATES EQUITY MARKET INDICES Last Price Daily % YTD % 10D Vol Major Indices DowJones % 7.72% 1.03% S&P % 8.53% 1.92% Nasdaq % 14.14% 5.39% Sectors Indices Discretionary % 15.14% 2.61% Staples % -6.22% -0.44% Energy % 7.16% 0.81% Financials % 0.66% 1.39% Healthcare % 14.32% 2.79% Industrials % 4.63% -0.06% IT % 18.34% 6.10% Materials % -3.89% -0.07% Telecom % -4.49% 3.53% Utilities % 0.25% 0.15% Real Estate % -3.66% -0.11% S&P 500 INDEX - 30 DAYS CHART S&P 500 SUPPORT & RESISTANCE U.S. equities fell in early trading, with financials the only sector in the green as 10-year Treasury rates remained at the highest levels since U.S filings for unemployment benefits unexpectedly fell last week. European shares dropped the most in a month as the luxury sector declined and a selloff in bonds spurred concerns over rising borrowing costs. Asian stocks rounded out a tough week with a further sell-off this morning as technology companies in the region were roiled by escalating concerns about their business in the U.S. INTERNATIONAL MARKETS INDICES Last Price Daily % YTD % 10D Vol World % 0.96% 1.94% Developed % 2.95% 1.73% Emerging % % 2.50% Frontier % % 1.06% Europe % -2.49% 1.37% Latin America % -6.72% 4.33% Asia Pacific % -7.49% -1.97% INTERNATIONAL EQUITY INDICES Last Price Daily % YTD % 10D Vol EuroStoxx % -3.68% -0.20% FTSE % -3.50% -1.45% CAC % 1.85% 2.12% DAX % -5.21% -0.85% Swiss SMI % -3.03% 1.63% Nikkei % 4.82% 0.71% CSI % % 0.00% DEVELOPED VS EMERGING - 30 DAYS CHART EMERGING DEVELOPED INTERNATIONAL EQUITY - 30 DAYS CHART FTSE 100 CAC 40 DAX NIKKEI 225 Source: Bloomberg, Financial Times

3 DAILY MARKETS BRIEF I FOREIGN EXCHANGE FOREIGN EXCHANGE MARKET Last Price Daily % 10D Vol 25RR Major USD Cross Rate USD Index % 0.02% - EUR/USD % -0.07% USD/JPY % 0.02% GBP/USD % -0.42% USD/CAD % -0.18% AUD/USD % -0.04% NZD/USD % -0.17% USD/CHF % -0.07% USD/NOK % -0.20% USD/SEK % -0.05% USD/CNY % 0.00% Major EUR Cross Rate EUR/GBP % 0.08% EUR/CHF % -0.97% EUR/JPY % -0.28% DISTANCE FROM 52 WEEKS LOW/HIGH The U.S. dollar weakened against the euro and yen on Thursday but stayed near recent highs as investors evaluated the impact of a global government bond rout that has lifted benchmark U.S. Treasury yields to seven-year peaks. The pound advanced as the U.K plans to sell bonds and U.K. Prime Minister Theresa May s team were said to draw up plans to rush her Brexit deal through Parliament in an attempt to head off a rebellion from her own party. Source: Bloomberg, Financial Times EUR/USD 30 DAYS SUPPORT & RESISTANCE GBP/USD 30 DAYS SUPPORT & RESISTANCE USD/JPY 30 DAYS SUPPORT & RESISTANCE USD/CAD 30 DAYS SUPPORT & RESISTANCE

4 DAILY MARKETS BRIEF I FIXED INCOME GLOBAL BOND INDICES Yield Yield (in Bps) Benchmark Indices US 10 Years Benchmark EU 10 Years Benchmark UK 10 Years Benchmark Sovereign Bonds US Treasury Bond Eurozone Sovereign Bond Japan Sovereign Bond US TREASURIES YIELD CURVE EUR GENERIC YIELD CURVE Corporate Bonds US Corporate TR US High Yield Bond TR EUR Aggregate Corporate TR EUR High Yield TR USD Emerging Market IG & HY A two-day unloading of U.S. Treasuries pushed their yields to multi-year peaks on Thursday as robust economic data and hawkish speeches by Federal Reserve officials stoked concerns about inflation. Most maturities along the German sovereign yield curve were little changed, while 9-year yields rose in Thursday s trading. The Japanese 10-year government bond yield jumped to near 3-year high during the Asian session on Thursday, tracking a similar movement in the U.S Treasuries. OVERNIGHT RATES - SWAPS Yield Yield (in Bps) 3M USD LIBOR M EUR EURIBOR M GBP LIBOR Y USD SWAP Y USD SWAP Y USD SWAP Y USD SWAP Spread (in FIXED INCOME SPREADS r Spread Bps) USD 3M vs 10Y Spread Spread Spread (in Bps) USD 2Y 3M vs vs 10Y 10Y Spread USD USD IG 2Y Spread vs 10Y Spread (0.0100) USD IG Spread USD HY Spread 4.3 (0.0800) USD HY Spread EU vs US 10Y Spread (0.0391) EU vs US 10Y Spread (0.0565) EU vs US 2Y Spread (0.0601) EU vs US 2Y Spread (0.0450) EM vs Benchmark Spread (0.0140) EM vs Benchmark Spread Source: Bloomberg, Financial Times, Reuters, Econotimes USD CORPORATES - 30 DAYS SPREAD EU VS US - 30 DAYS SPREAD

5 DAILY MARKETS BRIEF I COMMODITIES GLOBAL COMMODITIES MARKET Last Price Daily % Commodity Index % Energy WTI Crude Future % Brent Crude Future % NYMEX Gasoline % NYMEX Heat Oil % ICE Gasoil % NYMEX Natural Gas % COMMODITY INDEX SUPPORT & RESISTANCE WTI OIL 30 DAYS SUPPORT & RESISTANCE Precious Metals Gold Spot $/Oz % Silver Spot $/Oz % Platinum Spot $/Oz % Palladium Spot $/Oz % Gold Future % Silver Future % Platinum Future % Palladium Future % Base Metals LME Aluminum % LME Copper % LME Zinc % LME Nickel % LME Lead % LME Tin % Agricultural Corn CBT % Wheat CBT % Soybeans CBT % Bean Meal CBT % Rough Rice CBT % MDE Palm Oil % Soybean CBT % Coffee ICE % Sugar #11 ICE % Cotton #2 ICE % Cocoa ICE % Ethanol CME % Lumber CME % Orange Juice ICE % Live Cattle CME % Feeder Cattle CME % Lean Hogs CME % Oil prices retreated on Thursday from their highest levels since 2014 amid signs of a growing crude surplus in the world s biggest economy. Gold heads for a weekly advance despite declining yesterday ahead of U.S. jobs data, in a surprisingly resilient showing given gains in the dollar and a surge in bond yields. Source: Bloomberg GOLD 30 DAYS SUPPORT & RESISTANCE SILVER 30 DAYS SUPPORT & RESISTANCE

6 DAILY MARKETS BRIEF I COMPANY NEWS S&P 500 Stocks TOP 10 WINNERS Ticker Last Price Daily % CONSTELLATION-A STZ ELI LILLY & CO LLY JEFFERIES FINANC JEF CABOT OIL & GAS COG CME GROUP INC CME CHIPOTLE MEXICAN CMG PRUDENTL FINL PRU BRIGHTHOUSE FINA BHF PINNACLE WEST PNW CAMPBELL SOUP CO CPB S&P 500 Stocks TOP 10 LOSERS Ticker Last Price Daily % COTY INC-CL A COTY INCYTE CORP INCY AKAMAI TECHNOLOG AKAM MICROCHIP TECH MCHP RALPH LAUREN COR RL ALIGN TECHNOLOGY ALGN ESTEE LAUDER EL MATTEL INC MAT ILLUMINA INC ILMN ANSYS INC ANSS S&P 500 DISTRIBUTION S&P VOLATILITY INDEX LOSERS WINNERS LOW VOLATILITY HIGH VOLATILITY Samsung Electronics has projected fresh record earnings for the third quarter on the back of strong sales of memory chips, defying concerns that its earnings may have peaked. Samsung predicted that operating profit for the July-September period rose by a fifth to about $1.6bn higher than its previous record in the first quarter. Air France-KLM said it was exploring ways to use blockchain-based technology to cut costs for flyers and increase profits for suppliers by cutting out middlemen. The airline said it had signed up a new partnership with Winding Tree, a specialist in blockchain-based travel bookings, to help test and develop the technology. Larry Culp, the new chief executive of General Electric, could be given a payment in shares worth more than $230m if he succeeds in turning the company s performance around to the point that its share price rises above $31 in four years time. General Dynamics has been awarded a $465 million contract from the U.S Army for the their Life Cycle Product Line Management Program which aims to provide soldiers with realistic live training experiences. Nintendo Co. plans to release a new version of its Switch videogame console next year to maintain the sales momentum of the device according to the Wall Street Journal. Unilever has abandoned its plan to scrap its dual-listed structure and move its headquarters to the Netherlands after pressure from shareholders. The company said after an extensive consultation period with investors, the proposal has not received support from a significant group of shareholders and therefore considers it appropriate to withdraw. Sources: Seeking Alpha, Financial Times, Reuters

7 DAILY MARKETS BRIEF I ECONOMIC DATA KEY ECONOMIC INDICATORS Country Event Surv (M) Actual Prior Time Canada Unemployment Rate 5.90% % 15:30 Canada Net Change in Employment 25.0k k 15:30 Canada Int'l Merchandise Trade -0.50b b 15:30 France Trade Balance -4848m m 9:45 Germany Factory Orders MoM 0.80% % 9:00 Germany Factory Orders WDA YoY -3.00% % 9:00 Germany PPI YoY 2.90% % 9:00 Italy Retail Sales MoM 0.10% % 11:00 Italy Retail Sales YoY 0.20% % 11:00 Japan Labor Cash Earnings YoY 1.30% 0.90% 1.50% 3:00 Japan Leading Index CI :00 Russia CPI YoY 3.30% % Russia CPI Core MoM 0.30% % Russia CPI MoM 0.10% % United Kingdom Halifax House Prices MoM 0.20% % 10:30 United Kingdom Halifax House Price 3Mths/Year 3.40% % 10:30 United States Change in Nonfarm Payrolls 185k k 15:30 United States Unemployment Rate 3.80% % 15:30 United States Trade Balance -$53.6b -- -$50.1b 15:30 United States Change in Manufact. Payrolls 15k -- -3k 15:30 United States Baker Hughes U.S. Rig Count :00 Source: Bloomberg Banque BEMO sal Head Office - Private and Corporate Banking 96 Pasteur Building, Pasteur Street, Medawar Area, P.O. Box: , Beirut - Lebanon Tel: Fax: Wealth & Investment Management research@bemobank.com Beirut Central District Riad El Solh Square, Esseily Building Bloc A, 7th Floor Beirut - Lebanon Tel: Fax: Disclaimer: This report is published for information purposes only. The information herein has been compiled from, or based upon sources considered to be reliable (Bloomberg, SeekingAlpha, DailyStar ), but we do not guarantee or assume responsibility for its completeness and accuracy. This document should not be construed as a solicitation to take part in any investment, or as constituting any representation or warranty on our part. This report is not to be relied upon in substitution for the exercise of specialists. We may not have taken any steps to ensure that the securities referred to in this report are suitable for any particular investor. The investments and services contained or referred to herein are not purported to be exhaustive, any person considering an investment should seek specialist advice on the suitability of an investment. Nothing in this report constitutes investment, legal, accounting or tax advice, or a representation that any investment or strategy is suitable or appropriate to your individual circumstances, or otherwise constitutes a personal recommendation. Clients understand that it is their responsibility to seek legal and/or tax advice regarding the legal and tax consequences of their investment transactions. The consequences of any action taken on the basis of information contained herein are solely the responsibility of the recipient. Investment instruments are subject to risk, including possible loss of principal amount invested. Past performance should not be taken as an indication or guarantee of future performance, and no representation or warranty, express or implied, is made regarding future performance. The value of securities and financial instruments is subject to exchange rate fluctuation that may have a positive or adverse effect on the price or income of such securities or financial instruments. Some investments mentioned in this report may have a high level of volatility. High volatility investments may experience sudden and large falls in their value causing losses when that investment is realized. Some investments may not be readily realizable and it may be difficult to sell or realize those investments, similarly it may prove difficult to obtain reliable information about the value, or risks, to which such an investment is exposed. This report may provide the addresses of websites or references. We have not reviewed any such site and takes no responsibility for the content contained therein. Such address or reference is provided solely for convenience and information. Accessing such website through this report shall be at the recipients own risk.