Daily Market Updates –October-09

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

09 October 2026 – Daily Market Updates Daily Markets Briefing: Yields Grind Higher, Oil Jumps, Europe Signals Rising Strain Overview Risk tone improves to start the session. US equity futures point higher after a two-day dip, with growth and tech leading the bounce while energy lags on softer crude. Long-dated US Treasury yields hover near recent highs, keeping rate sensitivity in focus. Credit spreads remain orderly. Europe trades broadly firmer, and the dollar is little changed versus major peers. Commodities are mixed: oil eases, industrial metals are steady, and gold is range‑bound. Early snapshot (approximate, early US hours) US equity futures: higher, led by tech-heavy benchmarks US 10-year Treasury yield: edging up, near recent cycle highs Europe: broad gains across the Stoxx 600 USD: flat to marginally softer on the day Brent crude: lower, around the low-$100s per barrel What’s driving the move Rates path and positioning: With policy rates likely to stay restrictive for longer, investors continue to rotate toward balance-sheet strength and durable cash flows while using weakness to add selectively to secular growth. Energy reprieve: Crude is softer as participants weigh supply headlines against cooling demand signals and inventory dynamics. The pullback eases pressure on energy-importing regions and supports discretionary sentiment. Earnings and guidance in focus: Markets are bracing for a dense earnings stretch. Margin commentary, AI-related capital spending, pricing power, and inventory discipline will be key cross‑sector themes. AI and regulation backdrop: Investor conversations increasingly incorporate governance and long‑tail risk around advanced technologies. Expect disclosures and risk frameworks to feature more prominently in offering documents and conference calls, even as near-term adoption and monetization remain a tailwind for select software, hardware, and data-center ecosystems. Equities US: A constructive open is setting up after recent weakness, with megacap growth pacing gains and defensives steady. Energy underperforms alongside crude. Market breadth remains an area to watch into earnings. Europe: Cyclicals and financials are firm, supported by steeper curves and a softer energy tape. Exporters are sensitive to the latest dollar and global demand read‑throughs. Asia overnight: Mixed performance, with tech and exporters supported by a steadier dollar backdrop while local macro constraints kept gains contained in parts of the region. Fixed income Sovereigns: The long end remains heavy as markets reprice the duration premium. Curve shape and term premium dynamics keep volatility elevated into inflation updates and supply. Credit: Primary calendars remain active; quality continues to command demand. Investors favor shorter duration and higher quality as an anchor allocation while selectively extending on weakness. Currencies The dollar is broadly stable. Euro and sterling hold recent ranges ahead of inflation and growth updates. The yen remains sensitive to policy signaling and any signs of official support. Select EM FX tracks local rate differentials and commodity moves. Commodities Energy: Oil retreats as supply updates and demand concerns intersect. A sustained move lower would cushion freight and input costs; renewed tightness would quickly feed into headline inflation. Metals: Copper and key battery inputs are steady as markets balance global manufacturing signals against constrained project pipelines. Precious: Gold holds its role as a portfolio hedge amid rate volatility and geopolitical unease. The big picture Policy: Major central banks remain data‑dependent with a bias to keep policy restrictive until disinflation is more entrenched. Market-implied paths continue to toggle with each inflation and labor print. Growth: Soft‑landing hopes persist, but higher real rates are filtering through to interest‑sensitive sectors. Watch consumer resilience, housing turnover, and capex intentions. Tech cycle: The build‑out of compute, networking, and power infrastructure remains a multi‑year theme. Governance, safety, and regulatory clarity will increasingly shape cost of capital across the ecosystem. What we’re watching next US labor and inflation updates for signs of cooling wage momentum and services pricing. Corporate earnings: margin guidance, inventory normalization, and capex plans—especially around automation, cloud, and AI. Energy reports and inventory data for confirmation of easing supply tightness. Policy speakers across the Fed, ECB, and BoE for clues on reaction functions and balance-sheet plans. Primary markets: equity and debt issuance cadence as year‑end windows approach. Portfolio considerations Quality bias: Strong balance sheets, free cash flow, and pricing power remain in favor while rates stay elevated. Duration mix: Shorter-duration credit as a core, with selective extension on volatility-driven spread widening. Cyclical barbell: Pair secular growth exposures with targeted cyclicals benefiting from easing input costs. Risk management: Maintain liquidity sleeves and hedges given rate volatility, geopolitical risks, and event-heavy calendars. Access Global and Regional Markets Trade leading GCC equities, derivatives, and international stocks seamlessly with PhillipCapital DIFC. View Trading Products Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. Rolling Spot Contracts and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% of our retail client accounts lose money while trading with us. You should consider whether you understand how Rolling Spot Contracts and CFDs work, and whether you can afford to take the high risk of losing your money. Daily Market Updates –October-09 October 9, 2026 08 October 2026 – Daily Market Updates Daily Markets Briefing:… Read More Daily Market Updates –October-08 October 8, 2026 08 October 2026 – Daily Market Updates Daily Markets Briefing:… Read More Daily Market Updates –October-07 October 7, 2026 07

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Daily Market Updates –October-08

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

08 October 2026 – Daily Market Updates Daily Markets Briefing: Yields Grind Higher, Oil Jumps, Europe Signals Rising Strain Overview Global markets opened on the defensive as a jump in crude prices and another leg up in government bond yields pressured risk assets. Rate markets continue to recalibrate to stickier inflation risks, heavier sovereign issuance, and “higher-for-longer” policy settings. Equities in Europe and Asia traded softer, US futures were modestly lower, and haven demand favored the US dollar. Market at a glance Rates: Core yields advanced, with the US 10-year hovering in the mid‑5s and Europe following suit. French sovereign yields pushed higher, keeping the focus on regional fiscal dynamics. Equities: Europe’s broad benchmark slipped, led by banks. US equity futures edged down. Asia closed weaker, with Korea underperforming. Commodities: Brent crude vaulted above $100 on renewed geopolitical risk, lifting energy shares and rekindling inflation concerns. Credit/FX: Credit spreads were mixed; quality remained resilient while cyclicals widened. The dollar stayed firm against most majors. Big themes we’re watching France becomes a key barometer for global risk French government bonds remain under pressure amid concern over budget discipline and political gridlock. An unusual pricing backdrop has emerged where a sizeable share of high-grade French corporates trade tighter than the sovereign—a sign investors currently prefer company balance sheets with global revenue streams to the state’s fiscal profile. The weakness has spilled into bank stocks, adding to broader European risk aversion. A credible medium-term budget plan could stabilize the picture and entice value-oriented buyers, but visibility on fiscal consolidation remains the swing factor. US Treasury market: is the peak in sight? The relentless rise in longer-dated Treasury yields has surprised many. Some market strategists see scope for moderation into year‑end if core inflation cools and growth decelerates. Others argue the risk skew still points to higher yields given energy costs, supply dynamics, and resilient activity. Positioning is cautious, with investors balancing duration risk against the possibility of a quick pullback if data soften. Oil shock ripples across assets Crude’s latest surge on Middle East tensions supported energy equities but weighed on rate‑sensitive sectors and pushed breakeven inflation gauges higher. Sustained triple‑digit oil would complicate disinflation progress and could keep central bank rhetoric firm, even as growth indicators cool. Central banks stay hawkish‑leaning Recent US policy communications reinforced broad agreement on prior tightening steps and a willingness to keep policy restrictive until inflation is firmly contained. Markets now price a slower path to cuts, contributing to curve bear‑steepening (long yields rising faster than short). Earnings: high expectations bite Chipmakers reported robust top‑line and profit gains tied to AI demand and memory pricing, yet shares eased as results failed to clear elevated bars. It’s a reminder that in an expensive corner of the market, “beats” need to be sizable to sustain momentum. Meanwhile, select consumer staples signaled slower North American recovery amid cost pressures and cautious spending, highlighting a still‑mixed demand backdrop. Corporate dealmaking and leverage questions Large, high‑profile media and technology transactions continue to reshape the landscape, often featuring significant equity checks and complex financing. Investors remain focused on covenant quality, interest coverage in a higher‑rate world, and execution risk in integration plans. What could move markets next Europe: Progress on France’s budget and any ratings commentary; bank sector sentiment and funding conditions. US data: Upcoming inflation prints, retail trends, and labor indicators for clues on the growth‑inflation mix. Central banks: Speeches and minutes for color on tolerance for higher long rates and the timing of any eventual easing. Energy: Headline risk around supply disruptions; inventory trends and OPEC+ signals. Supply/auctions: Treasury and European sovereign issuance and demand metrics. Asset class takeaways Fixed income Sovereigns: Elevated term premiums and supply keep upward pressure on long yields. Watch for dips driven by softer data as potential relief rallies rather than confirmed trend changes. Credit: Quality still outperforming. Funding costs challenge lower‑quality issuers; laddering maturities and favoring stronger balance sheets remains prudent. Equities Style and sectors: Energy leadership re-emerged on oil strength; rate‑sensitive growth sectors face headwinds from higher discount rates. Balance sheets with pricing power and cash flow visibility remain preferable. Europe focus: Bank volatility likely persists while sovereign stress lingers; exporters with global footprints and less domestic fiscal linkage may provide relative resilience. Commodities/FX Oil: Geopolitics dominate the near term. A sustained move above $100 risks re‑accelerating headline inflation. FX: Higher US yields support the dollar; European currencies vulnerable to growth and fiscal concerns. Bottom Line Markets are recalibrating to a world where inflation progress is slower, policy stays restrictive longer, and fiscal arithmetic matters again. France’s bond market is a timely stress gauge for Europe, while US rates set the global risk-free anchor. In the near term, elevated yields, firmer oil, and uneven earnings argue for selective risk-taking, quality bias in credit and equities, and active duration management. Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. Rolling Spot Contracts and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% of our retail client accounts lose money while trading with us. You should consider whether you understand how Rolling Spot Contracts and CFDs work, and whether you can afford to take the high

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Daily Market Updates –October-07

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

07 October 2026 – Daily Market Updates Daily Markets Brief: Equities Face a Three-Front Test At a glance Higher long-term yields, firmer crude prices, and a resilient dollar are tightening financial conditions and challenging equity valuations. Global stocks are mixed after a strong run, with Europe softer and Asia uneven; US futures are near flat as investors weigh earnings momentum against macro headwinds. Energy outperforms while rate-sensitive and richly valued growth pockets see choppier trading. In semiconductors, attention remains on supply-chain breadth and capital intensity; Taiwan’s diversified role across AI hardware continues to draw interest. Policy watch: central banks signal a cautious stance as inflation drivers broaden; fiscal debates and trade measures in Europe remain in focus. The big picture Markets are confronting a familiar trifecta: elevated government bond yields, crude oil hovering around triple digits, and a sturdy US dollar. Together they compress equity multiples, raise the hurdle for future profits, and strain global liquidity—especially for importers of energy and economies with dollar liabilities. After a burst of optimism tied to strong tech earnings and AI-driven capex, the balance of risks has nudged investors toward a more selective stance. Rates and credit Sovereign yields: Longer maturities remain near cycle highs, steepening the effective cost of capital for corporates and households. With real yields elevated, the equity risk premium looks thin versus history, amplifying sensitivity to earnings misses. Credit: Spreads have edged wider from summer tights, with investment grade still orderly and high yield showing more dispersion. Primary issuance remains open but more price-sensitive; investor demand favors stronger balance sheets, secured structures, and shorter duration. Equities US: After fresh milestones for major benchmarks, breadth has narrowed. Quality growth with robust free cash flow still commands a premium, but parts of the market are pausing as bond yields reprice cash flows. Energy and select financials have found support; small caps remain tied to funding costs and domestic growth expectations. Europe: Indices are lower as higher local yields and soft consumer sentiment weigh. Exporters face the double headwind of a strong dollar and tepid global demand, while banks balance margin benefits from rates against slower loan growth and rising funding costs. Asia: Performance is split. Taiwan-linked AI hardware and foundry ecosystems continue to benefit from diversified demand across accelerators, networking, and advanced packaging. Korea remains more levered to memory pricing cycles, introducing greater earnings variability. Elsewhere, China-related growth concerns keep cyclicals in check, while Japan contends with FX volatility and policy-watch uncertainty. Currencies The dollar’s firmness reflects relative growth and yield support. That pressures commodities importers and tightens financial conditions globally. Yen and select emerging-market FX remain sensitive to intervention chatter, policy differentials, and terms-of-trade swings. Commodities Oil: Crude remains elevated amid supply discipline and persistent geopolitical risk around key shipping lanes. Higher energy costs can lift headline inflation, challenge margins for energy-intensive industries, and complicate central-bank timing on future easing. Metals: Industrial metals trade in a narrow range as markets balance infrastructure demand against slower property-related activity in China. Precious metals are capped by higher real yields but remain a hedge for geopolitical flare-ups. Earnings and corporate themes AI capex: The buildout continues to ripple across data center infrastructure—chips, substrates, power, cooling, and optical interconnects. Investors are rewarding firms with demonstrable order visibility and diversified end-customers rather than single-node exposure. Consumer staples and beverages: Mixed results underscore a late-cycle backdrop—pricing power helps, but volume elasticity is in focus as real incomes adjust. Hardware and devices: Broader smart-home and connected-device ecosystems are seeing incremental product cycles; margins hinge on component costs and channel inventory normalization. Policy and geopolitics Central banks: With inflation impulses tied to energy, services, and large-scale investment, policymakers maintain a cautious tone. Markets are reassessing the path and pace of any future rate cuts against sticky components of inflation. Fiscal and trade: European fiscal discipline debates and targeted trade measures—particularly around autos and advanced technology—remain potential volatility catalysts for sector-specific equities and supply chains. Geopolitical risk: Maritime security in energy transit routes is a swing factor for oil term structure and freight costs, feeding through to inflation expectations. What to watch next Inflation and activity data that test whether services disinflation is durable in the face of higher energy. Central-bank speakers for guidance on balance-sheet policy and the threshold for easing financial conditions. Semiconductor order books and commentary on lead times, capacity additions, and power availability at new fabs. Corporate guidance on 2025 capital spending, labor costs, and FX assumptions. Portfolio considerations Quality bias: Favor businesses with strong balance sheets, recurring cash flows, and pricing power to navigate higher-for-longer real rates. Energy and cash flow: Elevated oil supports upstream and integrated names with disciplined capex; downstream margins remain sensitive to cracks and inventory cycles. Duration management: Equity duration is back in focus—consider balancing high-growth exposures with shorter-duration cash-generative assets. Currency exposure: A stronger dollar can be a headwind; hedging or natural offsets via USD earners may reduce volatility. Diversification within AI: Broaden beyond single components to beneficiaries across power, thermal, packaging, and networking to mitigate cycle risk. Bottom Line Equities are transitioning from a momentum-led phase to a prove-it phase. With yields elevated, oil firm, and the dollar strong, fundamentals—cash flow resiliency, balance-sheet strength, and earnings quality—are likely to drive relative performance. Selectivity and risk budgeting matter more as financial conditions tighten. Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully

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Daily Market Updates –October-06

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

06 October 2026 – Daily Market Updates Markets Morning Brief: Tech Momentum Lifts Risk Appetite, Yields Ease, Bonds in Focus Overview Global equities started the week on firmer footing as large-cap technology led gains and energy prices cooled, taking some pressure off inflation expectations and government bond yields. The renewed appetite for growth themes comes as a leading AI chipmaker edges toward another multi-trillion-dollar valuation milestone on the back of a stronger outlook and an expansive share repurchase plan. At the same time, fixed income remains in the spotlight after a high-profile hedge fund founder cautioned that major foreign holders could scale back purchases of US debt, a development that would keep term premiums elevated and rates volatility heightened. Equities US: Futures point to a positive open, with megacap tech and AI-linked hardware/software pacing advances. The latest guidance and capital return actions from marquee names have reinforced the view that secular demand for compute and data infrastructure remains robust even as macro data soften at the margins. Market breadth has improved versus recent weeks, though leadership still skews toward quality growth. Europe: Stocks are higher, aided by cyclicals and industrials on the back of easing energy costs, while rate-sensitive sectors benefit from a pullback in yields. Defensive pockets lag slightly as investors rotate back into risk. Asia: Performance was mixed overnight. Japanese shares outperformed amid strength in semiconductors and capital goods, while parts of North Asia saw profit-taking in exporters and internet names. Southeast Asia was broadly steady. Fixed Income Treasuries: Yields edged lower as the dip in crude tempered near-term inflation anxiety and a risk-on tone supported duration. Still, supply-demand dynamics remain a concern. Comments suggesting potential waning demand from key overseas buyers have refocused attention on term premium, auction takedowns, and the path of fiscal deficits. Expect the curve to remain sensitive to energy moves, labor-market signals, and any guidance from policymakers on the timing and magnitude of future rate adjustments. Credit: Primary issuance continues at a healthy clip. Higher-quality corporates enjoy supportive technicals, while lower-rated borrowers face a higher clearing yield amid tighter underwriting and selective investor appetite. Private credit and structured solutions remain active in financing digital infrastructure and energy-transition projects. Commodities Energy: Oil prices slipped as supply headlines and growth concerns outweighed geopolitical risk, easing some pressure on headline inflation. Policy steps aimed at containing refined-fuel costs add to near-term downside for cracks. Attention turns to upcoming inventory data and any signals from producers on output strategy. Metals: Gold is rangebound as modestly lower real yields offset a firmer risk tone. Industrial metals trade mixed, tracking China demand headlines and inventory trends. Currencies The US dollar is little changed on a trade-weighted basis. High-beta FX is modestly firmer alongside equities, while haven currencies lag. Rate differentials and front-end yield moves remain the primary drivers. Themes to Watch AI and data center buildout: The market continues to reward firms leveraged to accelerated computing, networking, and specialized software. A leading chipmaker’s approach toward a new valuation landmark underscores investor conviction in multi-year AI demand. Emphasis on recurring revenue, ecosystem breadth, and supply-chain execution remains key. Power procurement for compute: Major technology platforms are increasingly securing long-term, zero-carbon baseload contracts, including nuclear, to meet data center energy needs. This underscores a tightening intersection of digital infrastructure and utilities, with potential implications for capacity additions, regulated returns, and carbon targets. Bond market plumbing: With deficits elevated and central banks stepping back from peak quantitative easing, foreign official and private demand is pivotal. Any retrenchment by large holders could mean higher term premia and choppier auctions, even if cyclical inflation cools. Portfolio barbells that pair high-quality duration with quality equities remain a common approach to navigating crosscurrents. Corporate and Deal Flow Capital returns: Buybacks are back in focus across segments of US large-cap tech, supported by strong cash generation. Investors will parse authorizations and pace versus capex needs for AI and cloud. M&A and financing: Healthcare services, energy transition, and digital infrastructure continue to see active dealmaking. In leveraged finance, transactions tied to AI-related buildouts are clearing at elevated coupons, reflecting both strong demand for capital and a higher-for-longer rate backdrop. Macro Calendar and Catalysts Data: Watch upcoming labor-market indicators, services activity surveys, and inflation prints for confirmation that disinflation is progressing without a sharp growth downdraft. Policy: Central bank speakers and meeting minutes will be scrutinized for clues on how long restrictive settings may persist. Any shift in balance-sheet plans or guidance on neutral rates could move the long end. Supply: Treasury and sovereign auctions across developed markets will test appetite at current yield levels; bid-to-cover ratios and indirect takedown shares are key tells. Earnings: Early corporate updates will offer a read on demand elasticity, pricing power, and inventory normalization into year-end. Positioning Considerations Equities: Maintain a quality bias within growth—free cash flow, balance-sheet strength, and durable moats remain prized. Consider selective cyclicals tied to industrial automation and efficiency gains. Keep an eye on margins as input costs and wage dynamics evolve. Fixed income: A barbell that pairs short-duration high-quality credit with intermediate Treasuries can help balance carry and convexity. Be selective in high yield and leveraged loans as dispersion widens. Alternatives and real assets: Infrastructure linked to data, grid modernization, and clean baseload power offers potential diversification, though project and policy risks warrant careful underwriting. Key Risks Sticky services inflation or a renewed energy spike that delays policy easing Weaker global growth, especially in China and Europe, weighing on cyclicals Tightening financial conditions from sustained high real yields and wider credit spreads Policy and geopolitical developments that disrupt supply chains or capital flows Bottom Line The tone has brightened as tech leadership reasserts itself, oil cools, and yields ease. But the bond market’s structural questions—who buys, at what price, and with what term premium—haven’t gone away. For now, investors are leaning into quality growth and secular themes while keeping duration as a shock absorber and staying selective in credit. Disclaimer: Trading foreign exchange and/or contracts for difference

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Daily Market Updates –October-05

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

05 October 2026 – Daily Market Updates Morning Markets Briefing: Europe’s Bond Stress Returns, Fed Path Repriced Global markets are mixed to start the week as investors reassess interest-rate trajectories and watch for signs of spillover from renewed pressure in parts of Europe’s sovereign bond market. A chunky move higher in long-dated US yields, oil holding near triple digits, and a softer euro are setting the tone across assets. Market snapshot (as of 06:10 AM ET; subject to change) US 10-year Treasury: ~5.28% (+1 bp) Brent crude: ~$102.5 (+0.3%) US equity futures: -0.2% Stoxx Europe 600: +0.2% Nikkei 225: +2.4% EUR/USD: ~1.12 (-0.4%) Europe: spreads widen, contagion fears resurface A synchronized selloff across several euro-area sovereigns late last week has pushed investors to dust off their fragmentation playbooks. Pressure that had been concentrated in a few markets broadened to larger peers, reviving concerns that stress in one pocket could increasingly influence funding costs elsewhere. Key differences from the last European sovereign crisis remain: stronger bank capital, a deeper policy toolkit and targeted central-bank facilities if needed. Even so, higher deficits, persistent inflation pressures and volatile politics are re-pricing risk premia. The euro has slipped to multi-month lows as rate differentials widen and investors add hedges. What to watch: moves in core-periphery spreads, demand at auctions, ECB communication on reinvestments/backstops, and cross-asset volatility (particularly bank equities versus sovereign CDS). US rates: expectations cool after softer jobs data Friday’s weaker employment print tempered the odds of another policy move this month, with market-implied probabilities of an additional hike easing. The focus now shifts to midweek minutes from the latest Fed meeting for clues on officials’ inflation concerns and views on term premium and supply. Long-end yields remain elevated, reflecting a combination of resilient nominal growth, heavy Treasury issuance and a global repricing of duration. Rate volatility has picked up, and curves remain relatively flat to slightly steeper in the long end as investors demand more compensation for holding maturity risk. What to watch: the Fed minutes, upcoming supply, breakeven inflation, and whether risk assets can digest higher real yields without a broader de-risking. Equities: earnings approaching as leadership rotates US futures are modestly lower while European stocks edge up and Asia outperformed, led by a sharp rally in Japan. Beneath the surface, leadership remains concentrated in cash-generative tech and AI beneficiaries, though higher discount rates are challenging longer-duration growth valuations. Corporate activity is in focus. A major European industrial group agreed to acquire a US software firm in a multibillion-dollar deal, underscoring how AI-oriented software and industrial automation remain strategic priorities for cash-rich buyers. In the semiconductor ecosystem, collaborative announcements and partnership chatter continue to influence relative performance between accelerator leaders and alternative compute suppliers. Energy and commodities: oil near $100 keeps inflation sticky Brent crude is steady above $100 as supply discipline, shipping risks and resilient demand keep the market tight. Liquefied natural gas flows through key Middle East chokepoints have been improving from September levels as producers work to alleviate shortages, but route risks and seasonal demand keep price volatility elevated. Higher energy remains a headwind for disinflation, feeding into breakevens and complicating central-bank reaction functions, particularly in regions where currency weakness amplifies imported costs. FX: dollar bid, euro softer The US dollar is firmer against most majors, supported by higher US real yields and safe-haven demand. The euro has retreated to its weakest levels in over a year amid Europe’s rate and fiscal uncertainty. Watch for policy commentary, auction outcomes and data surprises to drive near-term direction. In emerging markets, political headlines are a key driver. Brazilian assets are poised for strength following a market-friendly first-round election showing, with banks and domestic demand plays in focus. Currency and rates markets will calibrate how policy priorities evolve into the runoff. The week ahead: policy signals and bellwether earnings Central banks: Minutes from the Federal Reserve’s September meeting (the one that delivered the first hike in three years) should give color on inflation risks, growth assessments and how officials view the balance between ongoing disinflation and sticky components like housing and energy. Corporate earnings: A busy slate includes Constellation Brands (Tue). On Thursday, updates from Tesco, PepsiCo and Fast Retailing will shed light on consumer demand, pricing power and input costs. Delta Air Lines reports Friday, offering a read on travel demand, fuel costs and capacity plans. Positioning and flows: Monitor fund flows into duration hedges, quality equities and energy producers as investors balance higher yields against still-solid earnings expectations for large-cap tech. Key themes to monitor Europe’s fragmentation risk: Are spread moves idiosyncratic or systemic? Watch for signs of stress transmission across sovereigns, banks and the euro. The “higher-for-longer” rate regime: Elevated term premium and supply could keep long-end yields sticky, raising the bar for equity multiples. Energy’s policy impact: Oil near $100 complicates disinflation. Any guidance from producers or evidence of demand destruction will be pivotal. Earnings breadth: With headline tech profits expected to post robust gains, focus turns to whether strength broadens beyond AI-enabled leaders into cyclicals and services. Risk management considerations Rates: Review duration exposure and consider hedging tactics given elevated volatility at the long end. FX: For EUR- and EM-exposed portfolios, reassess hedge ratios and sensitivity to widening rate differentials. Equities: Tilt toward balance-sheet strength and cash flow resilience while watching valuation sensitivity to real yields. Commodities: Energy user hedges may be prudent as winter approaches and supply risks linger. Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For

Daily Market Updates –October-05 Read More »

Daily Market Updates –October-02

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

02 October 2026 – Daily Market Updates Daily Market Brief: Rising Yields Squeeze Equities; French Fiscal Strains Deepen At a glance Government bond yields remain elevated, keeping financial conditions tight and pressuring rate‑sensitive pockets of the equity market. Equity index resilience continues to mask weak breadth; leadership is concentrated in a handful of large tech and AI beneficiaries. Oil eased after flirting with the $100 mark, easing some near‑term inflation anxiety but leaving the broader “higher-for-longer” narrative intact. The US labor market update is due today and will shape expectations for the policy path and year‑end risk appetite. In Europe, France’s funding premium over Germany has widened, weighing on the euro and reviving discussion of potential spillovers across the region. Global markets Equities: Major US equity benchmarks are holding near highs, but the undercurrent is uneven. Smaller companies, banks, utilities, real estate and other interest‑rate‑sensitive groups have lagged as borrowing costs bite. Cyclical areas tied to capital spending continue to hinge on the durability of the AI build‑out and broader earnings momentum. Europe opened firmer, while Asia was mixed to softer amid the global rates backdrop. Rates: Longer‑dated US Treasury yields are hovering above the 5% area for the 10‑year, reflecting sticky growth and inflation expectations as well as heavier supply. Yield curves remain relatively flat, signaling tighter financial conditions even as near‑term policy expectations fluctuate around incoming data. Core European yields rose, with French bonds underperforming. Credit: Primary markets remain active, but the cost of financing has moved up and investor selectivity has increased. Large, high‑profile deals are absorbing liquidity and exposing weaker balance sheets, leading to wider dispersion in spreads between higher‑ and lower‑quality issuers. Commodities: Crude retreated after edging toward triple‑digits, as traders balanced tight supply with concerns that elevated rates could temper demand. Industrial metals were mixed, reflecting cross‑currents between manufacturing softness and energy‑related cost pressures. Currencies: The US dollar stayed firm alongside high US yields. The euro slipped to multi‑month lows, pressured by France’s widening spread to German bunds and uneven regional growth. Yen watchers remain alert for policy or verbal pushback if FX volatility accelerates. Focus: What higher yields mean for stocks now Narrow leadership: Market gains remain concentrated in a small group of mega‑caps tied to secular AI and cloud themes. Outside that cohort, the average stock has softened as higher discount rates compress valuations and raise the hurdle for earnings surprises. Earnings math: Higher real yields challenge elevated multiples unless profit growth remains robust. Companies with durable cash generation, strong balance sheets, and pricing power still command a premium; levered and long‑duration stories face a tougher backdrop. Positioning: Flows continue to favor quality and cash‑rich franchises. Long/short dispersion has increased, creating a more idiosyncratic, earnings‑driven tape into year‑end. Europe watch: France’s risk premium widens The spread between French government bonds and German bunds has climbed to the widest in years, reflecting investor concern over fiscal trajectories and political constraints. While still far from crisis territory, persistent underperformance raises questions about knock‑on effects for regional risk sentiment, bank funding costs, and the euro. What to monitor next: Budget progress and guidance, rating‑agency updates, EU fiscal rule discussions, and demand at upcoming auctions. A sustained widening could tighten financial conditions across parts of the bloc. The day ahead US employment report: Markets are looking for signs that hiring and wage growth are cooling enough to support a slower policy path without tipping into a sharper slowdown. A downside surprise could ease yields and broaden the equity bid; an upside beat may reinforce higher‑for‑longer expectations. Central bank speakers and supply: Any guidance on balance sheet plans and term premiums will be in focus, as will the tone around future issuance calendars. Investment considerations Quality over leverage: Favor balance‑sheet strength and consistent free cash flow as financing costs rise. Earnings resilience: Prioritize firms with pricing power and visible demand, particularly where earnings revisions remain positive. Duration balance: In multi‑asset portfolios, reassess interest‑rate exposure and consider barbell approaches to manage volatility. Liquidity matters: Elevated yields and episodic risk‑off moves argue for maintaining ample liquidity and being selective in lower‑quality credit. Diversification: Concentration risk is elevated; ensure exposures are not overly dependent on a single theme or region. Bottom line Higher long‑term yields are doing what they usually do—tightening financial conditions and pressuring the most rate‑sensitive corners of the market—while headline indices hold up on the back of narrow leadership. Today’s US labor data and Europe’s evolving fiscal picture will help determine whether markets can broaden out into year‑end or remain reliant on a small set of winners. Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. Rolling Spot Contracts and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% of our retail client accounts lose money while trading with us. You should consider whether you understand how Rolling Spot Contracts and CFDs work, and whether you can afford to take the high risk of losing your money. Daily Market Updates –October-02 October 2, 2026 02 October 2026 – Daily Market Updates Daily Market Brief:… Read More Daily Market Updates –October-01 September 28, 2026 01 October 2026 – Daily Market Updates Daily Market Brief:… Read More Daily Market

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Daily Market Updates –October-01

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

01 October 2026 – Daily Market Updates Daily Market Brief: Strong Growth, Higher Yields, Mixed Equities Overview Global markets are starting the new quarter with a familiar theme: government bond yields are grinding higher as growth proves resilient and energy prices stay elevated. Equities are uneven across regions, the US dollar is firmer, and commodities continue to feed the inflation narrative. Asia’s major benchmarks outperformed, US equity futures point modestly higher led by tech, and Europe is softer with France lagging on renewed fiscal and political worries. Top takeaways Rates: Benchmark yields in the US and UK have pushed to multi‑year highs. The move reflects firm economic activity, ongoing inflation pressures from energy, larger sovereign issuance needs, and a rebuilding term premium. Volatility around auctions remains elevated. Equities: US tech and semiconductor names are buoyed by AI and cloud demand trends, while rate‑sensitive groups remain under pressure. Europe trades lower, with France underperforming on fiscal concerns. Japan gains on technology strength. Commodities: Crude holds near triple‑digit levels, keeping pressure on inflation expectations and input costs. Agricultural prices have also jumped, adding to the cost backdrop. Currencies: The dollar index advances as US yields outpace peers. The euro is softer amid euro-area growth worries and France-specific risk premia. EM FX is mixed. Why yields keep rising Economic resilience: Recent US data point to solid consumer spending and still‑healthy labor demand. With activity holding up, investors demand higher compensation to hold longer‑dated bonds. Inflation mix: Energy and freight fuel a stickier services/transport cost profile, complicating the disinflation path even as some core measures cool. Supply and term premium: Larger fiscal deficits and quantitative tightening have shifted the balance between supply and demand for safe assets, lifting term premia. Global spillovers: Higher developed‑market yields and stronger USD tighten global financial conditions and transmit to other sovereign curves. Equities: AI strength vs. rate sensitivity Technology: The AI build‑out continues to support select chipmakers, cloud infrastructure providers, and partners across the ecosystem. Guidance tied to data center demand remains a bright spot, though companies also cite higher operating and capital costs. Energy and utilities: Higher oil prices underpin cash flows for producers, while long‑dated contract activity in power markets highlights stable demand for reliable baseload generation. Healthcare: Partnerships and co‑development agreements are a tailwind for select large‑cap names focused on immunology and specialty therapies. Consumer and financials: Stronger rates and fuel costs are a headwind for rate‑sensitive and transport‑exposed segments. Credit quality and funding costs are key watch points into year‑end. Europe watch: France’s valuation discount widens Political backdrop: Ongoing parliamentary fragmentation and budget debates have weighed on confidence. The fiscal consolidation roadmap includes spending restraint and revenue measures, but investors remain cautious until execution is clearer. Bonds and spreads: France’s risk premium over German benchmarks has widened to multi‑year highs, lifting funding costs and complicating deficit reduction. Equities: The country’s shares trade at a discount to the broader region after historically commanding a premium, reflecting policy uncertainty and softer domestic sentiment. Policy and macro radar United States: Recent spending data signal firm demand while progress on underlying inflation is gradual. Focus ahead is on labor indicators, ISM surveys, JOLTS, and upcoming Treasury auctions. United Kingdom: Long‑dated yields have approached levels not seen in decades as markets reassess the path of policy and supply. Watch BoE communications and inflation prints. Central banks and market structure: Policymakers are increasingly attentive to concentration and froth in AI‑linked assets, as well as broader financial stability considerations as rates stay high for longer. What this could mean for portfolios (not investment advice) Fixed income: Duration risk remains elevated as term premia rebuild. Investors seeking income may prefer staggered maturities or a barbell approach; high‑quality short to intermediate credit offers carry but requires careful issuer selection. Equities: With rates higher, cash generation, pricing power, and balance‑sheet strength matter more. Energy and select quality growth tied to secular capex (AI, digital infrastructure) have relative support; rate‑sensitive segments may remain choppy. Commodities and inflation hedges: Elevated energy tightens the inflation floor, but sustained triple‑digit crude also raises demand‑destruction risk. Position sizing and risk controls are essential. Currencies: A stronger dollar tends to favor exporters in some regions while tightening financial conditions for dollar‑funded borrowers. Hedging policies should be reviewed given rate differentials. What to watch next US: Labor market data through the week, ISM/PMI surveys, and the next round of Treasury supply. Europe: National budget milestones, especially in higher‑deficit countries; ECB speakers on inflation persistence. Corporate: Early Q4 pre‑announcements and results from large‑cap tech, consumer, and services names; management commentary on energy costs and capex plans. Risk reminders Higher-for-longer rates can pressure valuations and funding costs across assets. Energy shocks can slow growth even as they lift inflation, complicating policy responses. Liquidity can thin around data releases and auctions, amplifying moves. Need Assistance with Your Portfolio? Speak to our experienced team in Dubai to discuss structured products and advanced trading solutions tailored to your financial goals. Contact Us Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. Rolling Spot Contracts and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% of our retail client accounts lose money while trading with us. You

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Daily Market Updates – September-25

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

25 September 2026 – Daily Market Updates Daily Market Brief: A New Rate Reality, Steadier Risk Tone Overnight tone Government bond yields eased from recent highs, taking some pressure off equities to end the week on a firmer footing. Crude oil slipped as traders weighed the prospect of improved supply dynamics alongside softer demand signals. European stocks advanced, US equity futures were modestly higher, and most major Asian indices finished in the green. The dollar stayed firm on interest-rate differentials; emerging-market currencies were mixed. Digital assets were broadly steady. Macro and rates: Investing in a 5% world A generation of market participants is navigating something they’ve scarcely experienced: policy rates and long-dated yields that are elevated and proving sticky. The drivers are multifold—persistent core inflation, resilient labor markets, heavy sovereign issuance, large-scale investment in energy and digital infrastructure, and a central-bank stance that prioritizes price stability over rapid growth. What it means for portfolios: Income is back. High-quality cash and short-dated bonds are delivering yields that, for many, rival historical equity returns. That changes asset-allocation math and the opportunity cost of risk. Duration cuts both ways. Elevated yields create attractive entry points, but rate volatility remains high. Laddering approaches and balanced duration can help manage reinvestment and mark-to-market risk. Credit quality matters. Funding costs have risen and refinancing walls are approaching for parts of the corporate landscape. Spreads have been orderly, but selectivity and balance sheet strength are back in focus. Curve dynamics. Term premia have re-emerged, and the front end remains sensitive to each inflation and employment print. Expect rallies to be tactical until a clearer disinflation trend is secured. Equities: Growth leadership with broadened participation Global stocks found support as yields edged down. Leadership still skews toward cash-generative, mega-cap platforms tied to productivity and AI themes, where product rollouts and ecosystem effects continue to underpin sentiment. At the same time: Rate-sensitive pockets (small caps, housing-adjacent names) tend to breathe easier when long yields dip, though higher-for-longer rates keep a lid on multiples. Industrials and select energy infrastructure remain in focus amid capex cycles for power, grid, and data centers. Market breadth has been improving in phases, but remains uneven; earnings revisions and guidance tone will drive the next leg. Access Global Investment Products Diversify your portfolio with US, GCC, and Indian equities through PhillipCapital DIFC’s seamless trading solutions View Investment Solutions Energy and commodities: Easing but fragile Crude prices pulled back as traders weighed the potential for supply relief and calmer shipping conditions in key chokepoints. Distillate markets remain relatively tight ahead of seasonal demand, while refined product inventories are being watched closely. Industrial metals were mixed on a tug-of-war between manufacturing softness and investment in electrification. Gold hovered in a narrow range as higher real yields cap safe-haven bids absent fresh macro shocks. Currencies and digital assets The dollar maintained a bid on the view that US rates may stay elevated relative to peers. European currencies were little changed; Asia FX performance was mixed. Crypto prices were range-bound, with liquidity pockets concentrated around major tokens and derivatives activity steady. Housing pulse Mortgage rates in the US remain in the low-7% area, continuing to pressure affordability. Sellers have been more willing to adjust pricing, and builders are leaning on incentives to sustain absorption. Regional dynamics vary, with inventory still tight in select metros. Corporate currents Continued momentum in AI-related infrastructure is spurring long-term compute and networking commitments, benefiting select cloud, semiconductor, and edge-network providers. M&A chatter in media and entertainment underscores the value of scaled content libraries and distribution. Water and waste-handling assets tied to energy production remain active as operators seek vertical integration and cost efficiencies. Transportation and project-finance-heavy companies are navigating higher borrowing costs, putting capital structure discipline in the spotlight. The big picture: Risks and signposts Inflation path: Services inflation and wage dynamics remain the swing factors for the “how long” in higher-for-longer. Fiscal and supply: Sovereign issuance calendars and auction results are immediate checks on term premia and market depth. Geopolitics: Any shift in energy supply routes or de-escalation headlines can quickly alter crude’s trajectory and, by extension, inflation expectations. Growth mix: Watch global PMIs, job openings, and consumer spending for signs of cooling or reacceleration. Thought starters (not advice) Income sleeve: Staggered maturities across high-quality cash, T-bills, and short/intermediate bonds to balance yield and reinvestment risk. Quality bias in credit: Favor resilient free-cash-flow profiles and manageable near-term maturities. Equity balance: Blend secular compounders with cyclicals tied to infrastructure and efficiency themes; remain valuation-aware given rate sensitivity. Risk management: Consider scenario testing for rate shocks, energy price spikes, and FX moves; maintain liquidity buffers. What’s next Central bank speakers and upcoming inflation and employment readings will steer near-term rate expectations. Sovereign and investment-grade issuance will test demand at current yield levels. Corporate updates on capex, AI monetization, and inventory management will shape earnings revisions into year-end. Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. Rolling Spot Contracts and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78% of our retail client accounts lose money while trading with us. You should consider whether you understand how Rolling Spot Contracts and CFDs work, and whether

Daily Market Updates – September-25 Read More »

Daily Market Updates – September-24

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

24 September 2026 – Daily Market Updates Daily Market Brief: Why Bond Yields Keep Climbing, and What Cybersecurity’s Rally Says About Risk Markets continue to wrestle with a higher-for-longer interest rate backdrop, a firm energy complex, and a powerful bid for select tech niches—especially cybersecurity. Here’s a concise rundown of what’s driving price action and how investors are adapting. Market overview Rates: Government bond yields have been pushing to cycle highs across major economies as investors price stickier inflation and fewer rate cuts ahead. Equities: Global stocks are mixed, with growth/long-duration names sensitive to rate moves while cash-flow generative and defensive sectors hold up better. Tech leadership remains uneven beneath the surface. Commodities: Crude oil is firm on supply discipline and geopolitics, complicating the inflation outlook. Currencies: The dollar generally finds support when US yields rise; rate differentials and policy divergence are in focus. Why bond yields keep rising Multiple forces are pulling in the same direction. The mix is macro, policy, and micro-technical: 1) Slower disinflation than hoped Services prices and wages remain resilient, and energy’s rebound feeds headline inflation and expectations. That nudges investors to demand more compensation for inflation risk. 2) Growth resilience Activity indicators point to steady demand and tight labor markets in many economies. A hotter real economy often pairs with firmer real yields. 3) Higher-for-longer policy Central banks continue to signal caution on cutting prematurely. Fewer rate cuts and a longer plateau push up the front end and keep pressure on the curve. 4) Term premium is rebuilding Years of quantitative easing compressed the extra yield investors demand for holding longer maturities. With balance sheets shrinking and uncertainty elevated, that premium is normalizing higher. 5) Heavier sovereign issuance Larger fiscal deficits, infrastructure and defense outlays, and refinancing needs mean more bonds to absorb. When auctions clear with softer demand, yields back up to entice buyers. 6) Less price-insensitive buying With central banks not accumulating duration and commercial banks more balance-sheet constrained, the market relies on real-money and foreign buyers who are more valuation-sensitive. 7) Global spillovers Shifts in policy abroad matter. If Japanese yields edge up or hedging costs stay elevated, foreign demand for US and European duration can ebb, nudging global yields higher together. 8) Energy and geopolitics Oil near elevated levels and friction in key shipping lanes reinforce an inflation risk premium, particularly at the long end. 9) Investment and capex cycles Re-shoring, digital infrastructure, energy transition and defense spending can be inflationary at the margin, lifting neutral-rate estimates and term premium. 10) Positioning and momentum Systematic investors and macro funds often amplify trends. As yields breach prior ranges, mechanical selling can extend the move. What higher yields mean across assets Equities: Rising real yields compress valuation multiples, especially for long-duration growth stocks. Companies with strong free cash flow, pricing power, and visible earnings tend to be more resilient. Financials can benefit from a steeper curve, but credit costs and market volatility are swing factors. Credit: Investment-grade spreads have been relatively contained, but elevated rate volatility can widen spreads and complicate primary issuance windows. High yield is more sensitive if growth slows. Housing and rate-sensitives: Higher mortgage and corporate borrowing costs cool interest-rate–exposed sectors. Currencies: Rate differentials favor currencies backed by higher real yields; low-yielders can see pressure unless supported by policy action. Commodities: Sustained energy strength feeds headline inflation and can keep the policy stance restrictive for longer. What to watch next Inflation updates: Headline vs core, services vs goods, and wage trends. Growth signals: Business surveys, retail activity, and labor market prints for signs of cooling or re-acceleration. Sovereign supply: Mid- and long-dated auctions across major markets for demand/term-premium signals. Central bank communication: How policymakers frame “higher-for-longer,” balance-sheet runoff, and data dependence. Energy supply headlines: Ongoing guidance from key producers and any shifts in geopolitical risk. Sector focus: Cybersecurity’s surge Why it’s working Demand durability: Security remains a top budget priority even in tighter IT spending cycles as attack volumes and regulatory scrutiny rise. Expanding attack surface: Cloud migration, distributed work, and connected devices increase complexity, pushing enterprises to consolidate tools and adopt managed offerings. AI tailwinds (and headwinds): Adversaries and defenders alike are using AI. This arms race supports spending on threat detection, identity, and data protection. Consolidation: Platform vendors are cross-selling into larger installed bases, improving net retention and margins. What to watch Quality of growth: Billings, remaining performance obligations, net retention, and free cash flow conversion matter more than headline revenue. Profitability path: Can operating leverage persist as customer acquisition costs normalize and cloud costs rise? Valuation risk: After strong gains, multiples embed high expectations. Any slowdown in deal cycles or pricing could trigger sharper pullbacks, especially in a higher-rate tape. Government and regulated verticals: Procurement cycles can be lumpy; sustained growth depends on execution across both enterprise and public sector. Investor considerations Rates and duration Consider diversified rate exposure (laddered maturities or barbell approaches) to balance reinvestment and price risk. Shorter-duration or floating-rate instruments can dampen volatility; long-duration hedges may help if growth slows abruptly. Equities Emphasize balance-sheet strength, cash generation, and pricing power. Be selective with long-duration growth; quality and reasonable valuation matter more as real yields climb. For cybersecurity exposure, staged entries or diversified vehicles can help manage single-name risk and valuation sensitivity. Credit Prioritize quality, covenant strength, and manageable near-term maturities. Maintain liquidity to take advantage of episodic spread widening. Portfolio risk Keep an eye on rate volatility (MOVE), equity volatility (VIX), and liquidity conditions. Use pullbacks me Bottom line The rise in bond yields reflects a durable mix of firmer growth, sticky inflation components, heavier issuance, and a rebuilt term premium. That keeps financial conditions tighter and the bar higher for richly valued assets. Security software remains a rare area of secular growth, but expectations are elevated—execution and cash flow will be the differentiators. Stay diversified, keep duration intentional, and let data—not headlines—drive positioning. Refine Your Investment Strategy Today Connect with the PhillipCapital DIFC team to discuss how rising rates and

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Daily Market Updates – September-23

Market Updates, Daily Market Updates / PhillipCapital DIFC Research Team

23 September 2026 – Daily Market Updates Daily Market Briefing: Broad Update for Investors Market overview Equities: US index futures are fractionally higher after a choppy session that saw growth shares extend leadership while cyclical sectors lagged. Europe is modestly softer, and Asia finished mixed with weakness in Hong Kong offset by steadier moves elsewhere. Rates: US long-dated Treasury yields hover near cycle highs, easing slightly after the latest run-up. Curves remain relatively flat at elevated levels, reflecting persistent term-premium and fiscal concerns. Commodities: Crude oil is holding near recent peaks, with supply dynamics and geopolitics keeping a firm floor under prices. Industrial metals are mixed; gold is steady. Currencies and digital assets: The dollar is broadly firm against majors. Major cryptocurrencies are a touch weaker following recent gains. Big picture Tech-led momentum: Enthusiasm around artificial intelligence continues to buoy large-cap growth and select software and semiconductor names. Investor focus has broadened from infrastructure and chips to real-world applications, with expectations for productivity gains across consumer and enterprise use cases. The AI agent debate: Growing adoption of digital assistants and automated tools is sharpening attention on business models that rely on recurring fees, opaque pricing, or add-ons. While the technology may expand total addressable markets for some platforms, it could also compress margins for segments of financial services, travel, telecom, and other consumer-facing industries. Expect ongoing volatility as investors reprice potential winners and losers. Higher-for-longer rates: With long maturities near levels last seen decades ago, some asset managers are reassessing duration exposure as inflation-adjusted yields improve. At the same time, questions around deficits and supply of government debt remain a counterweight, keeping risk premia elevated. Global growth pulse: Recent business surveys in Europe point to firmer services activity even as manufacturing remains uneven. In the US, resilient labor conditions and cooling but sticky inflation continue to anchor a gradual path toward policy normalization. Asia’s outlook is mixed, with policy support and currency considerations in focus. Equities Leadership and laggards: Mega-cap tech and quality growth continue to lead on earnings visibility and secular tailwinds. More cyclical and rate-sensitive corners of the market—financials, parts of consumer discretionary, and small caps—have underperformed on the back of higher funding costs and margin concerns. Earnings lens: Guidance around AI-enabled productivity, cost control, and pricing power is driving dispersion. Companies demonstrating durable free cash flow and balance-sheet discipline are being rewarded, while levered or subscription-heavy models tied to consumer inertia face closer scrutiny. Flows and positioning: Factor leadership remains tilted toward quality, profitability, and large-cap growth. Value and high-beta cohorts have struggled as real yields rose and term premia widened. Fixed income Treasuries: Long-end yields are near multi-year highs, enticing some investors to reduce underweights in duration. Still, supply dynamics, term premium, and fiscal debate argue for continued volatility. Laddering and active curve management remain common approaches. Credit: Spreads are broadly range-bound, with investment grade supported by all-in yields near cycle highs. High yield issuance has been selective; refinancing activity is manageable but sensitive to moves in base rates and risk appetite. Private credit remains in focus as some vehicles adjust liquidity terms and underwriting standards. Explore Global Markets Trade across equities, fixed income, and commodities with our comprehensive investment products. View Trading Products Commodities Energy: Oil is consolidating near recent highs as supply risks and steady demand offset growth concerns. Elevated fuel prices are filtering into transportation and logistics cost projections, a watch item for margins in the quarters ahead. Metals: Industrial metals reflect mixed growth signals; precious metals are steady amid a firm dollar and higher real yields. Currencies and digital assets FX: The US dollar is underpinned by rate differentials and safe-haven demand. European currencies are range-bound as the region’s data stabilize, while select Asian currencies remain sensitive to policy and capital flows. Crypto: Major tokens are slightly softer after a strong year-to-date run; positioning remains momentum-driven and highly sensitive to liquidity conditions. Policy and macro calendar US: Upcoming releases include housing, confidence, and labor market indicators, alongside remarks from central bank officials. Markets will parse any hints on the path of policy normalization and balance-sheet plans. Europe: Inflation prints and updated surveys will help gauge the breadth of the services recovery and the outlook for rates. Asia: Policy support measures, currency management, and trade data remain key watch points. Strategy considerations (not investment advice) Balance sheets matter: Favor firms with strong free cash flow, manageable leverage, and pricing power as financing costs stay elevated. Duration with discipline: With long-end yields attractive versus recent history, some investors are selectively extending duration while maintaining liquidity and diversification. Quality over cyclicality: In equities, a barbell of secular growth and defensive quality can help navigate rate volatility and uneven global growth. Risk management: Elevated cross-asset volatility argues for careful position sizing, hedging where appropriate, and attention to liquidity. Risk radar Policy and fiscal dynamics: Attempts to influence long-term rates may have limited durability without broader fiscal consolidation—keep an eye on issuance, deficits, and term premium. AI disruption path: Adoption of AI tools could reshape fee structures and customer acquisition costs across multiple industries, with uneven effects on profitability. Energy shock risk: A sustained oil spike would test disinflation progress and pressure rate-sensitive assets. Liquidity pockets: Shifts in redemption terms or funding costs in private markets can spill over to public credit sentiment. Connect With Our Experts Navigate market volatility and discuss tailored strategy considerations with our team. Contact Us Disclaimer: Trading foreign exchange and/or contracts for difference on margin carries a high level of risk, and may not be suitable for all investors as you could sustain losses in excess of deposits. The products are intended for retail, professional and eligible counterparty clients. Before deciding to trade any products offered by PhillipCapital (DIFC) Private Limited you should carefully consider your objectives, financial situation, needs and level of experience. You should be aware of all the risks associated with trading on margin. The content of the Website must not be construed as personal advice. For retail,

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