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Previous Close Futures Today's Events (as of: 09/18/2026) (as of: 07:32 E.T.) 1D YTD Last % Last E.T. Event Consensus Prior S&P 500 0.2% 11.8% 7,651 0.7% 7,766 - - - - DJIA -0.2% 7.5% 51,683 0.8% 52,520 - - - - NASDAQ 100 0.7% 17.4% 29,644 1.1% 30,233 - - - - Russell 2000 -0.5% 15.2% 2,860 0.7% 2,903 MSCI EAFE* -0.7% 9.9% 1951 1.1% 3202 10-Yr Yield** 7 -3.4% 5.01% -- -- USD Index 0.0% 1.9% 100.22 -- -- *In local currency. **Change in bps. Source: FactSet

After Last Week’s Rate Hike, This Week Brings A Flurry Of Public Comments From Fed Policymakers After the Fed’s first rate hike in three years, investors are focused on what comes next. The Fed’s updated dot plot points to one additional hike this year and steady rates in 2027—a view we share. With Chair Warsh avoiding forward guidance, Fedspeak is taking on added importance. This week, we’ll hear from 8 FOMC members, including Goolsbee (today), Williams, Jefferson, Hammack and others. We’ll be listening to how they view the current policy stance, after Warsh described the move as removing a dose of accommodation. As Congress Considers Stricter Rules On Data Centers, More States Are Acting Directly Last Wednesday’s House passage of the Ratepayer Protection Act, by a 417-to-3 vote, highlighted bipartisan support for tighter oversight of data centers’ impact on electricity markets. Meanwhile, states are taking their own steps. On Friday, Virginia’s Democratic governor and Nevada’s Republican governor issued executive orders tightening rules on data center projects, following similar moves by New York and Pennsylvania earlier this year. As a result, the industry may face a more challenging regulatory environment.

Banks Stocks Lag Amid A Flattening Yield Curve The S&P 500 banking index underperformed the broader market (S&P 500) by 4.0% last week, marking banks’ weakest relative performance since May. A key driver was a flattening yield curve, which typically pressures net interest margins and may create a potential headwind for earnings. Meanwhile, the overall Financials sector trades at 2.2x book value versus a long-term average of 1.5x. A combination of mixed fundamentals and historically elevated valuations keep us neutral on the sector.

With Yields At Multi-Decade Highs, Investors Step In To Buy Income Rising yields have pushed fixed income returns into the red YTD, but there is a silver lining. With the 10-year Treasury yield at 5.00%, investors can lock in that return (on an annualized basis) for the next decade. As a result, retail and institutional demand for US bond mutual funds and ETFs is accelerating, with Morningstar reporting net inflows YTD of $625 billion through August, up from $335 billion over the same period in 2025 and the strongest pace since 2010. Given robust bond issuance, strong demand is an encouraging sign.

WTI Is Back Below $100/Barrel, But A Sustained Move Lower Hinges On Saudi Pipeline Repairs After six days in the triple-digits—the second-longest stretch since July 2022—WTI closed just under $100/barrel. While even a modest price drop is economically helpful, WTI remains up 73% YTD. As we explained on Friday, uncertainty surrounding Saudi Arabia’s damaged East-West Pipeline continues to raise questions about Middle East oil exports. There is some good news for drivers: with the summer travel season now behind us, prices at the pump should ease even if oil remains near current levels.

Sector Performance Chart of the Day: Crude Heights WTI closed below $100/barrel after the second- 1.0% 50.0% $130 longest stretch in the triple-digits since July 2022. 0.5% 40.0% $120 0.0% 30.0% $110 -0.5% 20.0% $100 -1.0% 10.0% $90 -1.5% 0.0% $80 -2.0% -10.0% $70

Cons. Dis. Cons. Stp. Com. Svc. Real Est. Materials Info. Tech. Industrials Financials Energy Health C. Utilities $60 $50 Jan-22 Oct-22 Jul-23 Apr-24 Jan-25 Oct-25 Jul-26

1 Day (LHS) YTD (RHS) WTI Oil Price ($/bbl) Source: FactSet Source: FactSet

LHS/RHS: Left-hand side/Right-hand side axes. The Dow Jones Industrial Average (DJIA) is an unmanaged index of 30 widely held stocks. The S&P 500 is an unmanaged index of 500 widely held stocks. The NASDAQ 100 Index is a stock market index that includes 100 of the…