Global Insight. Daily. Good morning

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1 Daily Global Insight Monday, November 14, 2016 Good morning Risk sentiment is mixed to start the week as growing conviction that a Donald Trump White House will deliver better growth and inflation exacerbates a sell-off in the bond market with futures on the S&P 500 oscillating around the flat-line in the pre-market. Asian bourses finished mixed overnight as gains in Japan (+1.7%) and China (+0.5%) offset losses elsewhere. European indices are off their opening highs but remain up between 0.1% and 0.8% at the midpoint of the session. Copper (+1.8%) is the lone bright spot in the commodities complex as crude oil (-1.2%) and gold bullion (-0.1%) trade lower amid renewed strength in the U.S. Dollar Index (+0.7%). Core government bond markets remain under pressure with yields on U.S. 10-year Treasuries surge 14 basis points to 2.29%, the highest level since January. Today, we would highlight the following: Chinese indicators point towards stable growth as Japanese growth surprises to the upside. The latest monthly economic indicators for China generally signals steady momentum for the world s second-largest economy, with industrial production growing 6.1% year-on-year in October (consensus: 6.2%), retail sales rising 10% (consensus: 10.7%), and fixed-asset investment increasing 8.3% (consensus: 8.2%). Today s data suggest that Chinese growth remains stable heading into the fourth quarter; however, recent reports showing a cooling in bank lending and property market activities suggest Chinese growth momentum could moderate in 2017 in the absence of fresh stimulus. In Japan, investors welcomed news of stronger-than-expected growth, with the nation s gross domestic product expanding 2.2% in the third quarter, well ahead of consensus for a 0.8% increase. Stronger exports in conjunction with soft imports contributed more than 1.5% to the headline growth rate, as Japan s economy appears to have regained some footing after a long period of subpar performance. U.S. earnings recession draws to an end. With more than 90% of S&P 500 firms having reported their financial results, adjusted earnings are forecast to expand 2.9% in the third quarter compared to the same period in 2015, according to FactSet, marking the first positive growth rate after five straight quarters of declines. Investors are anticipating the corporate profit outlook to brighten further, as expectations of better economic growth and a further stabilization in oil prices in the months ahead have driven consensus earnings growth estimates to 3.5% in the fourth quarter, followed by 11.4% and 10.5% in the first two quarters of Global bond market correction deepens. Growing optimism that Trump s policies will drive faster growth and inflation in the years ahead is stifling investor sentiment towards bonds. Trump s agenda of a massive infrastructure program, tax cuts and protectionist trade policies are seen as likely to boost the economy and result in higher inflation, which are negative for bonds. Yields on the benchmark 10- year Treasury bond spiked more than 10 basis points to an 11-month high of 2.29%, while the yield on 30-year Treasuries also soared 12 basis points to 3.03%. Prospects of higher interest rates against a backdrop of an improving U.S. growth and inflation outlook have in turn bolstered the greenback, as the U.S. Dollar Index moved above the 100-point mark earlier this morning for the first time since last December. All values in CAD dollars unless otherwise noted. Priced as of 7:22 a.m. on November 14, 2016 (unless otherwise stated). For important disclosures please see pages 10.

2 2 Global Insight Daily Monday, November 14, 2016 Markets today Equities Equity markets are mostly higher to kick off the week with S&P futures little changed ahead of the open. Meanwhile, government bonds continue to sell-off with the yield on the 10-year U.S. Treasury up ~10bps to 2.25%. Fixed income Government of Canada bond yields are 4 13 bps higher and US Treasury yields are 5 10 bps higher this morning. This move comes on the heels of a 30 bps increase in US 10-year yields that occurred last Wednesday and Thursday. Market Pulse Updated as of Advancers and Decliners 11/14/16 7:22 AM Updated as of 11/14/16 7:22 AM Equity New Last % Chg S&P/TSX Top Movers Dow 18, % Advancers Last % Chg S&P 500 2, % CONCORDIA INTERNATIONAL CORP $ % Nasdaq 4, % CANADIAN ENERGY SERVICES & T $ % VALEANT PHARMACEUTICALS INTE $ % Overseas Last % Chg NEW FLYER INDUSTRIES INC $ % FTSE 100 (UK) 6, % MEG ENERGY CORP $ % DAX (Germany) 10, % Euro Stoxx 50 3, % Decliners Last % Chg Hang Seng 22, % MAG SILVER CORP $ % Nikkei , % SILVER STANDARD RESOURCES $ % Shanghai 3, % HUDSON'S BAY CO $ % SILVER WHEATON CORP $ % Commodities Last % Chg ALAMOS GOLD INC-CLASS A $ % WTI Crude $ % Gold ($/oz) $1, % S&P 500 Top Movers Silver ($/oz) $17-0.9% Advancers Last (USD) % Chg Copper ($/ton) $5, % NVIDIA CORP $ % Natural Gas($/Mmbtu) $ % TEGNA INC $ % NORDSTROM INC $ % Currencies Last % Chg KOHLS CORP $ % CADUSD $ % URBAN OUTFITTERS INC $ % EURUSD $ % USDJPY % Decliners Last (USD) % Chg ALEXION PHARMACEUTICALS INC $ % Fixed Income Yield Chg (bps) NEWMONT MINING CORP $ % 10-yr Treasury 2.25% 9.5 CENTENE CORP $ % 10-Yr Canadian 1.60% 16.6 ARCHER-DANIELS-MIDLAND CO $ % Germany 10 Yr Yield 0.37% 5.8 DIAMOND OFFSHORE DRILLING $ % Spain 10 Yr Yield 1.59% 11.1 France 10 Yr Yield 0.85% 10.3 Source: Bloomberg

3 3 Global Insight Daily Monday, November 14, 2016 Strategy and economics Key developments Key U.S. Economic Data Releases Event Period Survey Actual Prior Commentary No Scheduled Releases Import Prices 11/15 Key Canadian Economic Data Releases Event Period Survey Actual Prior Commentary Prior Session Highlights & Analysis No Scheduled Releases CPI 11/18 Event Period Survey Actual Prior Our Thoughts U. of Michigan Sentiment Nov. P Sentiment Hits 5-Month High The U. of Michigan sentiment rose in its preliminary reading for November, with job and income gains helping American s become more upbeat about the economy heading into the holiday shopping season. Respondents forecasted an inflation rate of 2.7% next year, up from 2.4% in October marking the largest monthly increase since February Consumer s expectations of inflation will be important to watch going forward, with bond market inflation expectations skyrocketing last week causing yields to rise across the curve. Source: RBC Wealth Management, Bloomberg The preliminary reading only includes 391 respondents from Oct. 28 th to Nov. 8 th and we will get a clearer picture of how a Donald Trump presidency has affected consumers attitudes on the final release due November 23.

4 4 Global Insight Daily Monday, November 14, 2016 RBC Wealth Management s Global Insight Weekly November 11, 2016 Special Post-Election Edition: New president, new possibilities - The Dow hit a new all-time high and the S&P 500 rose 1.2% after the election. Treasury yields soared. But there s much more going on beneath the surface. Our global team of analysts discuss the post-election market moves and sort through the possibilities. - U.S. Equities: Sector rotation setback - U.S. Fixed Income: Washington, finally, to the rescue - Will the U.S. dollar be Trumped from here? - Taking post-election stock of Canada - Europe in the age of Trump - Trumpian economics: Asia s glass half full or empty?

5 5 Global Insight Daily Monday, November 14, 2016 Technical corner Bob Dickey: Market Great Again The Dow Industrials were up 955 points last week, as the pre- and post-election results favored the type of large-cap stocks that make up the 30-stock index. For the rest of the market, the results were much more mixed with many groups moving in opposite directions, based on the perception of possible changes that may come under a new administration. It is important to keep in mind that the action and reaction last week was in large part an emotional response to the election, and may or may not be supported by the facts that come out in the future. As such, we expect to see further volatility in the weeks ahead and likely some additional sharp rotation between groups as the opinions evolve and change over time. However, we believe the trend of the market is up, and any few-day bout of selling can be used as a buying opportunity. We are encouraged by the strength that is being shown in the transportation and Health care stocks, and think that the interest rate-sensitive stocks are very close to some pullback low points.

6 6 Global Insight Daily Monday, November 14, 2016 Market snapshot Calendar of events Date Time Event Survey Actual Prior Revised 11/15/2016 8:30 US Import Price Index MoM Oct 0.40% % -- 11/15/2016 8:30 US Empire Manufacturing Nov /15/2016 8:30 US Import Price Index YoY Oct -0.30% % -- 11/15/2016 8:30 US Retail Sales Advance MoM Oct 0.60% % -- 11/15/2016 8:30 US Retail Sales Ex Auto MoM Oct 0.50% % -- 11/15/2016 8:30 US Retail Sales Ex Auto and Gas Oct 0.30% % -- 11/15/2016 8:30 US Retail Sales Control Group Oct 0.40% % -- 11/15/ :00 US Business Inventories Sep 0.20% % -- 11/16/2016 7:00 US MBA Mortgage Applications 11-Nov % -- 11/16/2016 8:30 US PPI Final Demand MoM Oct 0.30% % -- 11/16/2016 8:30 US PPI Ex Food and Energy MoM Oct 0.20% % -- 11/16/2016 8:30 US PPI Ex Food, Energy, Trade MoM Oct 0.20% % -- 11/16/2016 8:30 US PPI Final Demand YoY Oct 1.20% % -- 11/16/2016 8:30 US PPI Ex Food and Energy YoY Oct 1.60% % -- 11/16/2016 8:30 US PPI Ex Food, Energy, Trade YoY Oct % -- 11/16/2016 9:15 US Industrial Production MoM Oct 0.20% % -- 11/16/2016 9:15 US Capacity Utilization Oct 75.50% % -- 11/16/2016 9:15 US Manufacturing (SIC) Production Oct 0.30% % -- 11/16/ :00 US NAHB Housing Market Index Nov /16/ :00 US Total Net TIC Flows Sep $73.8b -- 11/16/ :00 US Net Long-term TIC Flows Sep $48.3b -- Bloomberg Nov. United States Economic 11/17/2016 7:45 US Survey 11/17/2016 8:30 US Housing Starts Oct 1155k k -- 11/17/2016 8:30 US Housing Starts MoM Oct 10.30% % -- 11/17/2016 8:30 US Building Permits Oct 1190k k -- 11/17/2016 8:30 US Building Permits MoM Oct -2.90% % -- 11/17/2016 8:30 US CPI MoM Oct 0.40% % -- 11/17/2016 8:30 US CPI Ex Food and Energy MoM Oct 0.20% % -- 11/17/2016 8:30 US Initial Jobless Claims 12-Nov 257k k -- 11/17/2016 8:30 US CPI YoY Oct 1.60% % -- 11/17/2016 8:30 US CPI Ex Food and Energy YoY Oct 2.20% % -- 11/17/2016 8:30 US Continuing Claims 05-Nov k -- 11/17/2016 8:30 US CPI Index NSA Oct /17/2016 8:30 US CPI Core Index SA Oct /17/2016 8:30 US Real Avg Weekly Earnings YoY Oct % 0.90% 11/17/2016 8:30 US Philadelphia Fed Business Outlook Nov /17/2016 9:45 US Bloomberg Economic Expectations Nov /17/2016 9:45 US Bloomberg Consumer Comfort 13-Nov /18/ :00 US Leading Index Oct 0.10% % -- 11/18/ :00 US Kansas City Fed Manf. Activity Nov /21/2016 8:30 US Chicago Fed Nat Activity Index Oct /14/ :00 CA Bloomberg Nanos Confidence 11-Nov /15/2016 8:30 CA Teranet/National Bank HPI MoM Oct % -- 11/15/2016 8:30 CA Teranet/National Bank HP Index Oct /15/2016 8:30 CA Teranet/National Bank HPI YoY Oct % -- 11/15/2016 9:00 CA Existing Home Sales MoM Oct % -- 11/16/2016 8:30 CA Manufacturing Sales MoM Sep 0.10% % -- 11/17/2016 8:30 CA Int'l Securities g Transactions Sep b -- 11/18/2016 8:00 CA Survey 11/18/2016 8:30 CA CPI NSA MoM Oct 0.30% % -- 11/18/2016 8:30 CA CPI YoY Oct 1.50% % -- 11/18/2016 8:30 CA Consumer Price Index Oct /18/2016 8:30 CA CPI Core MoM Oct 0.30% % -- 11/18/2016 8:30 CA CPI Core YoY Oct 1.80% % -- 11/18/2016 8:30 CA CPI SA MoM Oct % -- 11/18/2016 8:30 CA CPI Core SA MoM Oct % -- 11/21/2016 8:30 CA Wholesale Trade Sales MoM Sep % -- 11/21/ :00 CA Bloomberg Nanos Confidence 18-Nov Source: Bloomberg

7 7 Global Insight Daily Monday, November 14, 2016 Market snapshot Number crunching Equity Indices Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) S&P/TSX Composite Index 14, % -1.6% 11.9% 11.3% -11.1% 7.4% 9.3% S&P/TSX Composite Index TR 46, % -1.5% 14.8% 14.8% -8.3% 10.6% 13.0% S&P/TSX 60 Index % -1.1% 12.3% 12.0% -10.6% 9.1% 9.6% S&P/TSX Equity Index 15, % -1.5% 12.2% 11.6% -11.3% 7.4% 10.1% S&P/TSX Income Trust Index % -4.1% 3.2% 3.3% -5.2% 7.1% -7.7% S&P/TSX Venture Composite Index % -5.8% 38.5% 37.0% -24.4% -25.4% -23.1% S&P/TSX Small Cap Index % -3.2% 24.1% 24.0% -15.8% -5.2% 4.6% Dow Jones Industrial Average 18, % 3.9% 8.2% 9.3% -2.2% 7.5% 25.5% S&P 100 Index % 1.6% 5.2% 6.2% 0.3% 10.3% 26.4% S&P 500 Index 2, % 1.8% 5.9% 7.0% -0.7% 11.4% 28.5% S&P 400 Midcap Index 1, % 3.5% 11.8% 11.2% -3.7% 8.2% 30.2% S&P 600 Smallcap Index % 8.2% 16.4% 15.7% -3.4% 4.4% 39.7% NASDAQ Composite Index 5, % 0.9% 4.6% 6.3% 5.7% 13.4% 37.2% Euro Stoxx 50 2, % -0.1% -9.3% -13.4% 3.2% 2.9% 12.2% FTSE 100 6, % -3.2% 7.8% 6.9% -4.9% -2.7% 13.9% CAC 40 4, % -0.4% -3.2% -9.4% 8.5% -0.5% 16.1% DAX Index 10, % 0.0% -0.7% -2.2% 9.6% 2.7% 23.5% S&P/ASX 200 5, % 1.0% 1.4% 6.3% -2.1% 1.1% 13.2% Nikkei , % -0.3% -8.7% -11.3% 9.1% 7.1% 56.7% Shanghai Stock Exchange Composite 3, % 3.1% -9.7% -10.7% 9.4% 52.9% -7.0% Hang Seng Index 22, % -1.8% 2.8% 0.6% -7.2% 1.3% -0.3% MSCI World 1, % 0.6% 2.3% 0.6% -2.7% 2.9% 24.1% MSCI World TR 6, % 0.7% 4.8% 3.3% -0.3% 5.5% 27.4% MSCI EAFE 1, % -1.2% -4.1% -5.6% -3.3% -7.3% 19.4% MSCI Emerging Market % -3.3% 10.3% 5.1% -17.0% -4.6% -5.0% Equity Indices (in CAD$)* Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) DJIA in Cdn$ 25, % 4.9% 5.9% 8.7% 16.4% 17.6% 35.9% S&P 100 Index 1, % 2.6% 2.9% 5.6% 19.5% 20.6% 36.9% S&P 500 Index 2, % 2.8% 3.6% 6.5% 18.2% 21.8% 39.1% S&P 400 Midcap Index 2, % 4.6% 9.4% 10.2% 14.6% 18.3% 41.0% S&P 600 Smallcap Index 1, % 6.6% 11.1% 12.2% 15.1% 15.1% 51.3% NASDAQ in Cdn$ 7, % 1.9% 2.4% 5.6% 25.9% 24.0% 48.6% Euro Stoxx 50 4, % -0.2% -11.3% -10.7% 10.3% -0.9% 26.0% FTSE , % 0.6% -9.8% -9.6% 7.0% 0.1% 24.8% CAC 40 Index 6, % -0.6% -5.3% -6.5% 16.0% -4.2% 30.3% DAX Index 15, % -0.1% -2.9% 0.9% 17.7% -1.2% 38.6% S&P/ASX 200 5, % 1.2% 2.8% 16.1% 4.0% 0.2% 4.0% Nikkei % -1.1% 0.7% 4.2% 29.3% -3.9% 41.6% Shanghai Stock Exchange Composite % 3.5% -15.8% -14.9% 24.6% 6.7% 3.7% Hang Seng Index 3, % -0.8% 0.5% 2.6% 10.6% 9.4% 8.0% MSCI World 2, % 1.6% 0.1% 2.7% 15.8% 13.3% 34.4% MSCI World TR 9, % 1.7% 2.5% 5.5% 18.7% 16.2% 37.9% MSCI EAFE 2, % -0.2% -6.2% -3.6% 15.1% 1.5% 29.4% MSCI Emerging Market 1, % -2.3% 7.9% 7.3% -1.1% 4.1% 2.9% S&P/TSX Sector Performance Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) S&P/TSX Financials 2, % 2.0% 12.4% 8.7% -5.5% 9.8% 18.4% S&P/TSX Energy 2, % -2.6% 21.2% 13.2% -25.7% -7.8% 9.1% S&P/TSX Materials 2, % -7.5% 36.2% 35.9% -22.8% -4.5% -29.1% S&P/TSX Industrials 2, % 2.0% 17.0% 14.0% -12.5% 20.0% 34.1% S&P/TSX Consumer Discretionary 1, % -2.0% 2.5% -1.7% -3.5% 26.4% 38.6% S&P/TSX Telecom Services 1, % -5.2% 8.0% 0.7% -1.0% 10.5% 7.6% S&P/TSX Information Technology % 1.1% 4.8% 10.7% 14.8% 34.0% 36.0% S&P/TSX Consumer Staples 4, % -5.3% 4.3% 6.2% 11.0% 46.9% 21.3% S&P/TSX Utilities 1, % -7.5% 7.2% 5.9% -7.8% 11.3% -8.7% S&P/TSX Healthcare % -1.2% -75.7% -67.9% -15.8% 30.2% 72.6% S&P 500 Sector Performance Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) Financials % 9.7% 11.7% 9.1% -3.5% 13.1% 32.5% Health Care % 4.5% -2.3% -0.7% 5.2% 23.3% 38.0% Technology % -1.5% 9.3% 7.4% 4.3% 18.2% 24.9% Industrials % 6.5% 13.6% 11.1% -4.7% 7.5% 35.9% Consumer Discretionary % 2.0% 2.0% -0.9% 8.4% 8.0% 40.3% Energy % 1.3% 14.0% 2.6% -23.6% -10.0% 20.7% Consumer Staples % -4.3% -0.1% 3.2% 3.8% 12.9% 21.4% Telecom % -2.3% 2.8% 5.7% -1.7% -1.9% 5.9% Materials % 2.8% 10.2% 7.4% -10.4% 4.7% 21.9% Utilities % -7.0% 6.0% 6.9% -8.4% 24.3% 7.1% Source: Bloomberg. Returns based on simply price appreciation unless otherwise noted. Equity indices based in local currency unless otherwise noted. MSCI indices based in USD. Equity indices in Canadian dollars are converted using Bloomberg exchange rates. All values are as at close of previous trading day.

8 8 Global Insight Daily Monday, November 14, 2016 Market snapshot Number crunching Commodities (USD$) Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) Crude Oil (WTI per barrel) $ % -7.7% -1.4% -12.8% -30.5% -45.9% 1.9% Crude Oil (Brent per barrel) $ % -8.0% -0.6% -17.1% -35.0% -48.3% 3.0% Natural Gas (per million btu) $ % -13.1% -4.9% -8.6% -19.1% -31.7% 8.4% Crack Spread $ % -8.7% -10.9% -12.6% 4.9% -39.5% -20.6% Gold (per ounce) $1, % -4.1% 15.4% 12.7% -10.4% -1.7% -27.3% Silver (per ounce) $ % -3.2% 25.1% 21.0% -11.7% -19.3% -35.5% Platinum (per ounce) $ % -3.8% 5.7% 7.1% -26.1% -11.8% -10.3% Palladium (per ounce) $ % 8.7% 20.0% 17.3% -29.4% 11.3% 3.2% Copper (per pound) $ % 15.4% 18.7% 13.1% -26.1% -13.7% -6.3% Zinc (per pound) $ % 2.3% 57.6% 58.5% -26.5% 5.6% 1.3% Nickel (per pound) $ % 10.1% 30.9% 21.4% -41.8% 9.0% -17.9% Currencies (in CAD$) Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) U.S. Dollar % 1.0% -2.1% 2.1% 19.1% 9.4% 8.3% Euro % -0.2% -2.2% 3.2% 6.9% -3.7% 12.3% British Pound % 4.0% -16.3% -15.4% 12.7% 2.9% 9.6% Japanese Yen (in JPY ) % 0.8% -9.3% -14.9% -15.7% 4.0% 10.7% Currencies (in USD$) Index Level Change Change (%) MTD (%) YTD (%) 52-Week (%) Canadian Dollar % -1.0% 2.2% -2.1% -16.0% -8.6% -7.7% Euro % -1.2% -0.1% 1.0% -10.2% -12.0% 3.6% British Pound % 2.9% -14.5% -17.2% -5.4% -5.9% 1.2% Japanese Yen (in JPY ) % 1.8% -11.2% -13.1% 0.4% 13.8% 19.9% Source: Bloomberg. Returns based on simply price appreciation unless otherwise noted. Equity indices based in local currency unless otherwise noted. MSCI indices based in USD. Equity indices in Canadian dollars are converted using Bloomberg exchange rates. All values are as at close of previous trading day.

9 14- Nov Oct Dec Nov Oct Dec-15 9 Global Insight Daily Monday, November 14, 2016 DEX Univ Overall Bond TR Key Rates Next Mtg Overnight Rate CAN 0.50% 2016/12/ % 1.00% -4.00% Month Quarter 6 Month YTD Year Bank Rate CAN 0.75% Prime Rate CAN 2.70% Fed Funds US 0.50% 2016/12/14 Discount US 1.00% Prime Rate US 3.50% DEX Univ Bond Indices (As of Oct. 31, 2016) Month Quarter 6 Month YTD Year International Yields O/N 3mo 10-Yr Next Mtg FTSE TMX Canada Universe Bond TR -0.91% -0.57% 2.97% 4.33% 5.61% United Kingdom 0.25% 0.31% 1.43% 2016/12/15 FTSE TMX Canada ST Universe Bond TR 0.03% 0.34% 1.27% 1.55% 2.05% Eurozone 0.00% -0.68% 0.35% 2016/12/08 FTSE TMX Canada MT Universe Bond TR -0.70% -0.28% 3.04% 4.15% 5.32% Australia 1.50% 1.59% 2.66% 2016/12/05 FTSE TMX Canada LT Universe Bond TR -2.31% -1.99% 5.22% 8.27% 10.83% Japan 0.10% -0.26% -0.01% #N/A N/A 4.00 US Treasury 2.50 Government of Canada Nov Oct Dec Nov Oct Dec m 6m 1y 2y 5y 10y 30y m 6m 1y 2y 5y 10y 30y US Treasury Yields 14-Nov Oct Dec Dec-14 DoD Change Government of Canada Yields 14-Nov Oct Dec Dec-14 DoD Change TSY /31/ yr 0.96% 0.83% 1.05% 0.67% CAN /01/ yr 0.66% 0.62% 0.48% 1.01% TSY /31/ yr 1.63% 1.29% 1.76% 1.65% CAN /01/ yr 0.96% 0.78% 0.73% 1.33% TSY 2 11/15/ yr 2.22% 1.80% 2.27% 2.17% CAN /01/ yr 1.54% 1.25% 1.39% 1.79% TSY /15/ yr 3.00% 2.56% 3.02% 2.75% CAN /01/ yr 2.17% 1.87% 2.15% 2.33% Money Market* GIC's 1-yr 2-yr 3-yr 4-yr 5-yr 1 mth 2mth 3mth 6mth 1 yr High 1.51% 1.70% 1.80% 1.85% 1.91% CDOR 0.88% 0.89% 0.90% 1.04% 1.14% Average 1.29% 1.41% 1.50% 1.59% 1.73% ICE LIBOR US 0.54% 0.69% 0.91% 1.26% 1.59% CAD $1,000,000 1 mth 2mth 3mth 6mth 1 yr CAD $100,000 1 mth 2mth 3mth 6mth 1 yr T-Bills T-Bills 0.42% 0.44% 0.45% 0.51% 0.57% T-Bills T-Bills 0.24% 0.26% 0.27% 0.33% 0.39% BA's BAs 0.75% 0.75% 0.76% 0.89% 0.97% BA's BAs 0.51% 0.51% 0.52% CP CP 0.80% 0.80% 0.81% 0.94% 1.02% CP CP 0.56% 0.56% 0.57% US $1,000,000 1 mth 2mth 3mth 6mth US $100,000 1 mth 2mth 3mth 6mth T-Bills 0.27% 0.00% 0.48% 0.60% T-Bills T-Bills 0.09% % 0.42% CTBUS 0.24% 0.32% 0.49% 0.61% BAs CTB US 0.06% 0.14% 0.31% 0.43% GECC 0.13% 0.13% 0.13% 0.13% CP GECC Economic Indicators** Actual Forecast Forecast Actual Forecast Q316 Q416 Q117 Q217 Q317 Q T-Bills Overnight Rate Yr Yield BA's Real GDP (est) Headline CPI (est) CP Unemployment Rate Q316 Q416 Q117 Q217 Q317 Q T-Bills Fed Funds Yr Yield CTB US Real GDP (est) Headline CPI (est) GECC Unemployment Rate *The prices and yields shown are taken from sources we believe to be reliable. They are provided on an indicative basis for information purposes only. Prices and yields are subject to change with availability and market conditions. RBC Dominion Securities does not warrant its completeness or accuracy. This is not an offer or solicitation for the purchase or sale of any securities or financial instruments. Securities or financial instruments mentioned herein may not be suitable for all investors. ** Source: Bloomgberg Forecast ***ICE LIBOR data over 24-hours stale

10 10 Global Insight Daily Monday, November 14, 2016 Important disclosures RBC Capital Markets Conflicts Disclosures RBC Capital Markets Policy for Managing Conflicts of Interest in Relation to Investment Research is available from us on request. To access our disclosures, clients should refer to or send a request to RBC CM Research Publishing, P.O. Box 50, 200 Bay Street, Royal Bank Plaza, 29 th floor, South Tower, Toronto, Ontario M5J 2W7. We reserve the right to amend or supplement this policy at any time. The author(s) of this report are employed by RBC Dominion Securities Inc., a securities broker-dealer with principal offices located in Toronto, Canada. With respect to the companies that are the subject of this publication, clients may access current disclosures by mailing a request for such information to RBC Dominion Securities, Attention: Manager, Portfolio Advisory Group, 155 Wellington Street West, 17 th Floor, Toronto, ON M5V 3K7. The information contained in this report has been compiled by RBC Dominion Securities Inc. ("RBC DS") from sources believed by it to be reliable, but no representations or warranty, express or implied, are made by RBC DS or any other person as to its accuracy, completeness or correctness. All opinions and estimates contained in this report constitute RBC DS s judgment as of the date of this report, are subject to change without notice and are provided in good faith but without legal responsibility. This report is not an offer to sell or a solicitation of an offer to buy any securities. Additionally, this report is not, and under no circumstances should be construed as, a solicitation to act as securities broker or dealer in any jurisdiction by any person or company that is not legally permitted to carry on the business of a securities broker or dealer in that jurisdiction. This material is prepared for general circulation to Investment Advisors and does not have regard to the particular circumstances or needs of any specific person who may read it. RBC DS and its affiliates may have an investment banking or other relationship with some or all of the issuers mentioned herein and may trade in any of the securities mentioned herein either for their own account or the accounts of their customers. RBC DS and its affiliates may also issue options on securities mentioned herein and may trade in options issued by others. Accordingly, RBC DS or its affiliates may at any time have a long or short position in any such security or option thereon. Neither RBC DS nor any of its affiliates, nor any other person, accepts any liability whatsoever for any direct or consequential loss arising from any use of this report or the information contained herein. This report may not be reproduced, distributed or published by any recipient hereof for any purpose. RBC Dominion Securities Inc.* and Royal Bank of Canada are separate corporate entities which are affiliated. *Member Canadian Investor Protection Fund. Registered trademark of Royal Bank of Canada. Used under licence. RBC Dominion Securities is a registered trademark of Royal Bank of Canada. Used under licence. Copyright All rights reserved.