Weekly Economic Update November 7, 2011

WEEKLY QUOTE “Experience is a dear teacher, but fools will learn at no other.” – Ben Franklin WEEKLY TIP Starting a small business? A written plan is handy for forecasting, risk management and raising capital. A written plan is far preferable to one you keep in your head. WEEKLY RIDDLE What can run but never walks, has a mouth but never eats, has a head but never thinks, and has a bed but never sleeps? Last week’s riddle: A man brings a silver antique wrapped up in a towel to an appraiser, claiming it is a trophy engraved “To General Stonewall Jackson, presented after the first Battle of Bull Run, 1861.” The appraiser knows it is a fake without even looking at it. Why? Last week’s answer: People in 1861 wouldn’t have known it was the first Battle of Bull Run (the second occurred in 1862). Also, Stonewall Jackson fought for the Confederacy, which referred to the battle First Manassas.	November 7, 2011JOBLESS RATE DECREASES TO 9.0% Economists surveyed by Bloomberg News had expected unemployment to stay at 9.1% in October, so this was a nice development. Still, this latest jobs report had something in common with its predecessors: underwhelming job growth. Non-farm payrolls expanded by 80,000 positions last month, but that fell short of the 95,000 new jobs envisioned in the consensus Bloomberg forecast. On the bright side, the percentage of underemployed Americans fell from 16.5% to 16.2% and the long-term unemployed (those out of work for at least 27 weeks) shrank to 42.4% of the jobless population, the lowest percentage since November 2010. BOTH ISM INDICES MOVE LOWER The Institute for Supply Management’s purchasing manager indexes were both above 50 in October, but not quite where they were at a month before. The ISM manufacturing index slipped from 51.6 to 50.8; its service sector index ticked down to 52.9 from the preceding 53.0. The service sector employment gauge improved by 4.6% and moved from 48.7 in September (contraction) to 53.3 (expansion).2 GOLD & OIL POST WEEKLY GAINS Oil futures advanced 1.01% last week to settle at $94.26 per barrel on the NYMEX Friday. Prices have jumped 19.02% over the past five weeks of trading. Gold logged a 0.52% gain last week, closing at $1,755.30 an ounce on the COMEX Friday.3 GREEK THEATRE PREOCCUPIES WALL STREET The whims of Greek Prime Minister George Papandreou affected stocks more than anything last week: first he announced a public vote on the latest austerity cuts for the nation, reconsidered it, and then prepared to step down Friday amid concerns that he might change his mind. As these weekly performance numbers show, bears were roaming last week: DJIA, -2.03% to 11,983.24; S&P 500, -2.48% to 1,253.23; NASDAQ, -1.86% to 2,686.15.4,5,6 THIS WEEK: No major economic releases are slated for Monday; we do have results from Priceline and SYSCO. Eurozone finance ministers conclude their meeting in Brussels on Tuesday, and Toyota presents earnings. Wednesday, Ben Bernanke speaks at a Federal Reserve conference on small business; earnings come in from GM, Anheuser Busch, HSBC, Cisco, Green Mountain, Ralph Lauren, Macy’s and Wendy’s. Thursday we have earnings from Viacom, Kohl’s, Disney and Nordstrom; Ben Bernanke speaks at an El Paso town hall. Friday is Veterans Day: banks are closed, markets are open, and the initial October University of Michigan consumer sentiment survey arrives plus earnings from D.R. Horton. % CHANGE Y-T-D 1-YR CHG 5-YR AVG 10-YR AVG DJIA +3.50 +4.80 -0.000047 +2.69 NASDAQ +1.25 +4.22 +3.05 +4.98 S&P 500 -0.35 +2.63 -1.63 +1.36 REAL YIELD 11/4 RATE 1 YR AGO 5 YRS AGO 10 YRS AGO 10 YR TIPS -0.08% 0.44% 2.40% 3.50% Sources: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 11/4/116,7,8,9Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.These returns do not include dividends.
Please feel free to forward this article to family, friends or colleagues. If you would like us to add them to our distribution list, please reply with their address.We will contact them first and request their permission to add them to our list.
This material was prepared by MarketingLibrary.Net Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.Citations.1 – http://www.bloomberg.com/news/2011-11-04/u-s-payrolls-increased-by-80-000-in-october-as-jobless-rate-falls-to-9-.html [11/4/11]2 – http://www.ism.ws/ISMReport/NonMfgROB.cfm [11/3/11]3 – blogs.wsj.com/marketbeat/2011/11/04/data-points-energy-metals-529/ [11/4/11]4 – montoyaregistry.com/Financial-Market.aspx?financial-market=financial-planning-and-wealth-management&category=4 [11/4/11]5 – http://www.cnbc.com/id/45166675 [11/4/11] 6 – http://www.cnbc.com/id/45163231 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=11%2F4%2F10&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=11%2F4F2%2F10&x=10&y=18 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=11%2F4%2F10&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=11%2F3%2F06&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=11%2F3%2F06&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=11%2F3%2F06&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=11%2F5%2F01&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=11%2F5%2F01&x=0&y=0 [11/4/11] 7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=11%2F5%2F01&x=0&y=0 [11/4/11] 8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [11/4/11] 8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [11/4/11] 9 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm71101.pdf [7/11/01]

Weekly Economic Update, June 13, 2011

NEW BEIGE BOOK SHOWS GROWTH MODERATING
At last week’s International Monetary Conference, Federal Reserve Chairman Ben Bernanke conceded that the pace of the recovery had become “frustratingly slow.” While the Fed’s latest Beige Book showed solid economic growth in eight of 12 Fed districts (with growth accelerating in the Dallas region), growth had moderated in the Philadelphia, Atlanta, Chicago and New York districts. Broadly, the Fed snapshot revealed some slowdown in manufacturing but steady service sector expansion.¹

2-YEAR NOTES NOTCH 9-WEEK WIN STREAK
This hasn’t happened since February 2008. The yield on the 2-year Treasury fell to 0.40% and the yield on the 10-year note slipped to 2.97% Friday, even with the sunset for QE2 on the horizon. Friday, the Fed said it would end that bond-buying program by purchasing $50 billion in Treasuries by the end of the month.²

Mortgage RATES EASE FOR EIGHTH STRAIGHT WEEK
Freddie Mac’s latest Primary Mortgage Market Survey estimates the average interest rate on a 30-year fixed-rate mortgage at 4.49%, compared to an average of 4.72% across 2010. Rates on the 15-year FRM averaged just 3.68% in the June 9 survey.³

GOLD, SILVER & OIL PRICES DECLINE
Gold prices slipped 0.5% last week, ending three weeks of advances; the good news is that gold is up roughly 5% over the last five weeks. Silver prices dropped 3.2% Friday to $36.32 per ounce on the COMEX. Oil lost 0.9% last week, aided by Saudi Arabia’s move to ramp up production for customers in Asia; prices settled Friday at $99.29 per barrel on the NYMEX.^4,5

LITTLE ENTHUSIASM FOR STOCKS
The Dow closed under 12,000 Friday; its losing streak now stands at six weeks. (We have four weeks until the next earnings season.) The performances for June 6-10: DJIA, -1.64% to 11,951.91; NASDAQ, -3.26% to 2,643.73; S&P 500, -2.24% to 1,270.98.⁶

THIS WEEK: Nothing major is scheduled for Monday. Tuesday, we have the May PPI and government reports on May retail sales and April business inventories. The May CPI is released on Wednesday along with data on May industrial output. On Thursday, we have the latest initial and continuing claims reports from the Labor Department and the report on May housing starts from the Census Bureau. Friday brings the Conference Board’s May index of leading indicators and the University of Michigan’s preliminary June consumer sentiment survey.

Sources: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 6/10/11^6,7,8,9
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

---

This material was prepared by MarketingLibrary.Net Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – marketwatch.com/story/growth-slowing-in-four-of-12-districts-beige-book-2011-06-08?dist=countdown [6/8/11]
2 – bloomberg.com/news/2011-06-10/treasury-yields-near-2011-low-on-prospect-fed-to-keep-interest-rates-low.html [6/10/11]
3 – online.wsj.com/article/SB10001424052702304259304576375700263962290.html [6/10/11]
4 – reuters.com/article/2011/06/10/us-markets-precious-idUSTRE7592IU20110610 [6/10/11]
5 – cnbc.com/id/43347432/ [6/10/11]
6 – cnbc.com/id/43358833 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=6%2F10%2F10&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=6%2F10%2F10&x=10&y=18 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=6%2F10%2F10&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=6%2F9%2F06&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=6%2F9%2F06&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=6%2F9%2F06&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=6%2F11%2F01&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=6%2F11%2F01&x=0&y=0 [6/10/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=6%2F11%2F01&x=0&y=0 [6/10/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [6/10/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [6/10/11]
9 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
10 – montoyaregistry.com/Financial-Market.aspx?financial-market=money-and-happiness&category=29 [6/12/11]

Weekly Economic Update, March 16, 2011

INFLATION SPRINGS AHEAD
Consumer inflation increased by 0.4% in April after rising 0.5% in March. (You can cite food and energy costs – gasoline prices rose 3.3% alone last month.) Annualized inflation is the real story here: the federal government’s Consumer Price Index has advanced 3.2% in the past 12 months. That is the biggest annual gain since October 2008. As for wholesale inflation, the Producer Price Index was up 0.8% for April; it showed an annual increase of 6.8% (the most since September 2008).^1,2,3

GAINS IN RETAIL SALES, Consumer SENTIMENT
The Census Bureau announced that retail sales were up 0.5% in April; it also revised the March gain from 0.4% to 0.9%. The University of Michigan’s preliminary April consumer sentiment survey came in at 72.4, better than the 70.0 forecast by economists polled by Reuters and the final April reading of 69.8.^1,4

KEY Commodities BOUNCE BACK
Last week, there was a bit of a rebound in precious metals and energy futures. Gold actually advanced 0.15% for the week; silver’s five-day loss was 0.77%. Oil futures gained 2.5% for the week on the NYMEX, while RBOB gasoline futures lost 0.6%.^5,6

BLEAKER OUTLOOK FOR MEDICARE, SOCIAL SECURITY
New reports from trustees of the entitlement systems project that Medicare’s trust fund will be depleted by 2024 and that Social Security’s trust fund will be exhausted by 2036 … if no action is taken. (Prior respective estimates were 2029 and 2037.) By these forecasts, Medicare would only be able to pay out 90% of retiree hospital insurance costs after 2024; after 2036, Social Security would only be able to pay out about 77% of scheduled benefits.⁷

A FAIRLY FLAT WEEK
While the NASDAQ pulled off a tiny weekly advance (+0.03% to 2,828.47), the Dow and S&P 500 ended up with some minor weekly losses (DJIA, -0.34% to 12,595.67; S&P 500, -0.18% to 1,337.78.)¹

THIS WEEK: No major economic releases come out Monday, but Federal Reserve Chairman Ben Bernanke speaks at Georgetown University. Tuesday offers reports on April housing starts and industrial output plus 1Q results from Wal-Mart, Dell and Home Depot. Wednesday, the most recent FOMC minutes are released and we have earnings from Target and HP. Thursday brings weekly jobless claims figures, data on April existing home sales, the Conference Board’s April LEI index and 1Q results from Sears, Gap and GameStop. No economic releases are scheduled for Friday.

Sources: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 5/13/11^1,8,9,10
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

---

This material was prepared by MarketingLibrary.Net Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – cnbc.com/id/43026751 [5/13/11]
2 – nytimes.com/aponline/2011/05/13/business/AP-US-Consumer-Prices.html [5/13/11]
3 – bloomberg.com/news/2011-05-12/u-s-april-producer-price-index-report-text-.html [5/12/11]
4 – census.gov/retail/marts/www/marts_current.pdf [5/12/11]
5 – blogs.wsj.com/marketbeat/2011/05/13/silver-gold-have-a-divergent-week/ [5/13/11]
6 – marketwatch.com/story/oil-futures-ease-but-stay-above-98-a-barrel-2011-05-12 [5/13/11]
7 – money.usnews.com/money/blogs/planning-to-retire/2011/05/13/financial-outlook-worsens-for-social-security-medicare [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=5%2F13%2F10&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=5%2F13%2F10&x=10&y=18 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=5%2F13%2F10&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=5%2F12%2F06&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=5%2F12%2F06&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=5%2F12%2F06&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=5%2F14%2F01&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=5%2F14%2F01&x=0&y=0 [5/13/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=5%2F14%2F01&x=0&y=0 [5/13/11]
9 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [5/13/11]
9 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [5/13/11]

10 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]

Weekly Economic Update, May 9, 2011

HIRING IMPROVES IN APRIL
The Labor Department’s latest jobs report contained some good news: the private sector added 268,000 new jobs last month, and overall non-farm payrolls increased by 244,000 in April. The private sector hasn’t seen this much month-over-month job creation since February 2006, and the net gain of 244,000 jobs was the best since June 2010. The unemployment rate went up to 9.0% in April, but Wall Street rallied Friday after the report was released.¹

PMI IndEX STRONG; SERVICE SECTOR INDEX SLIPS
Last week, the Institute for Supply Management released its April reports on the manufacturing and service sectors. While the manufacturing index came in at 60.4 – down slightly from March’s 61.2 – anything above 60 indicates a booming sector. The non-manufacturing index dropped to 52.8 from March’s 57.3 reading. Anything above 50 means growth, but the index hasn’t been this low in eight months.²

GOLD, SILVER & OIL PULL BACK
Are commodities overbought? That anxiety weighed on the futures markets last week, and it was amplified by a strengthening dollar. Silver took the biggest hit, retreating 27.4% across five days to $35.28 an ounce at the Friday COMEX close. Gold lost 4.2% to end the week at $1,491.20 per ounce; copper sank 4.9% for the week, leaving it 14% under its February 14 record close on Friday. Oil slid 14.7% last week, all the way down to $97.18 per barrel at the Friday close; crude had its poorest week since mid-December of 2008.^3,4

A VOLATILE WEEK SEES STOCKS RETREAT
Stocks rollercoastered a bit last week as closely watched indicators alternately came in positive and negative. By Friday’s close, the scorecard for May 3-6 looked like this: DJIA, -1.34% to 12,638.74; S&P 500, -1.72% to 1,340.20; NASDAQ, -1.60% to 2,827.56. (The “flash crash” occurred on May 6, 2010 – that’s why the 1-YR CHG column below shows such radical improvement this week.)⁵

THIS WEEK: No major economic releases are scheduled for Monday. On Tuesday, we have a report on March wholesale inventories and 1Q earnings from Disney. On Wednesday, three Federal Reserve Bank presidents speak and 1Q earnings from Toyota, Symantec and Cisco arrive. Thursday, the April PPI is released and the newest reports on initial jobless claims arrive; we get the Census Bureau’s report on April retail sales along with 1Q earnings from three titans of the mall – Nordstrom, Macy’s and Kohl’s. Friday, we get April’s CPI and the University of Michigan’s initial consumer sentiment survey for May.

Sources: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 5/6/11^5,6,7,8
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

---

This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of the Statler Financial Services, Inc. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – cnbc.com/id/42928731/ [5/6/11]
2 – zacks.com/stock/news/52612/ISM+Service+Index+Disappoints [5/4/11]
3 – blogs.wsj.com/marketbeat/2011/05/06/silver-finishes-its-brutal-week-with-a-whimper/ [5/6/11]
4 – blogs.wsj.com/marketbeat/2011/05/06/data-points-energy-metals-489/ [5/6/11]
5 – cnbc.com/id/42935357 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=5%2F6%2F10&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=5%2F6%2F10&x=10&y=18 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=5%2F6%2F10&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=5%2F5%2F06&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=5%2F5%2F06&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=5%2F5%2F06&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=5%2F7%2F01&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=5%2F7%2F01&x=0&y=0 [5/6/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=5%2F7%2F01&x=0&y=0 [5/6/11]
7 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [5/6/11]
7 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [5/6/11]
8 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
9 – montoyaregistry.com/Financial-Market.aspx?financial-market=an-introduction-to-the-stock-market&category=29 [5/8/11]

Weekly Economic Update, April 25, 2011

HOME SALES, HOME STARTS IMPROVE IN MARCH 

The National Association of Realtors announced that existing home sales were up 3.7% last month, about 1% higher than the rebound expected on Wall Street. (NAR noted that about 35% of these were cash sales.) In another positive development for the real estate market, the Commerce Department measured a 7.2% gain in housing starts and an 11.2% rise in construction permits for March.¹

GOLD at new high, DOLLAR TOUCHES 3-year low
Gold cracked the $1,500 ceiling last week. Prices reached $1,508.75 on Thursday before settling at $1,503.80 on the COMEX. Silver hit yet another 31-year high at $46.68 per ounce, with prices ending the week at $46.06. Meanwhile, the U.S. Dollar Index descended to 73.735 during the market day on Thursday, a low unseen since August 2008.^2,3

LEI index UP FOR NINTH STRAIGHT MONTH
The Conference Board’s index of leading economic indicators rose another 0.4% for March, complementing a revised 1.0% gain in February. Economists polled by Bloomberg News had forecast a 0.3% advance.⁴

DOW SETTLES AT 2011 HIGH
Standard & Poor’s rattled Wall Street early last week when it revised its outlook on U.S. long-term debt from “stable” to “negative”. Across the next three trading days, earnings sent the market higher. The four-day week turned into a winning one, as the numbers show: DJIA, +1.33% to 12,505.99; S&P 500, +1.34% to 1,337.38; NASDAQ, +2.01% to 2,820.16.^5,6

THIS WEEK: The height of earnings season is upon us. On tap for Monday, we have 1Q results from Netflix and March new home sales data. Tuesday offers earnings reports from Coca-Cola, UPS, 3M, Delta Air Lines, Valero, Ford, Western Union, U.S. Steel, Broadcom and Amazon, along with the February Case-Shiller home price index and the Conference Board’s April consumer confidence index. Wednesday brings 1Q results from eBay, ConocoPhillips, Credit Suisse, General Dynamics, Starbucks, BP, Boeing and Allstate, plus a Fed rate decision and a report on March durable goods orders. Thursday gives us earnings from PepsiCo, P&G, Motorola, Exxon Mobil, Microsoft, Sprint Nextel, Bristol Myers, Viacom and Occidental Petroleum, plus February pending home sales and weekly jobless claims data. What does Friday bring? The March consumer spending report and the University of Michigan’s final March consumer sentiment poll, plus 1Q results from Merck, Caterpillar, Chevron, Weyerhaeuser and DR Horton.

% CHANGE	Y-T-D	1-YR CHG	5-YR AVG	10-YR AVG
DJIA	+8.02	+12.32	+2.04	+1.87
NASDAQ	+6.31	+11.95	+4.07	+3.69
S&P 500	+6.34	+10.65	+0.40	+0.92
REAL YIELD	4/22 RATE	1 YR AGO	5 YRS AGO	10 YRS AGO
10 YR TIPS	0.83%	1.46%	2.39%	3.52%

Sources: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 4/22/11^6,7,8,9
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of Statler Financial Services, Inc. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – blogs.wsj.com/marketbeat/2011/04/20/existing-home-sales-rise-market-cheers/ [4/20/11]
2 – reuters.com/article/2011/04/21/us-markets-global-idUSTRE71H0EB20110421 [4/21/11]
3 – cnbc.com [4/22/11]
4 – bloomberg.com/news/print/2011-04-21/index-of-leading-economic-indicators-in-the-u-s-rises-0-4-.html [4/21/11]
5 – marketwatch.com/story/sp-cuts-us-rating-outlook-to-negative-2011-04-18 [4/18/11]
6 – cnbc.com/id/42708009 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F22%2F10&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F22%2F10&x=10&y=18 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F22%2F10&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F21%2F06&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F21%2F06&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F21%2F06&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F23%2F01&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F23%2F01&x=0&y=0 [4/22/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F23%2F01&x=0&y=0 [4/22/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [4/22/11]
9 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [4/22/11]
10 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
11 -montoyaregistry.com/Financial-Market.aspx?financial-market=who-needs-wealth-management-services&category=4 [4/24/11]

Weekly Economic Update, April 11, 2011

WALL STREET WATCHES BUDGET FIGHT
While journalists and political analysts worldwide pondered the effects of a federal government shutdown last week, Wall Street conducted business as usual. Any prolonged shutdown would test the stock market: while the Federal Reserve would not be forced into a hiatus, the majority of Treasury Department employees would be furloughed, and the Securities and Exchange Commission, Federal Trade Commission and Department of Justice could halt review of M&As, IPOs and new stock and bond issues. Still, much of the Street’s attention will be focused on the new earnings season this week. (For the record, stocks actually advanced about 5% during the three-week federal budget impasse of 1995-1996.)^1,2,3

ISM service sector INDEX DESCENDS TO 57.3
The Institute for Supply Management’s February non-manufacturing index came in at 59.7; the March edition is 2.4% lower, and ISM’s survey estimated a 7.2% decline in business activity/production for the month and a 4.0% increase in the backlog of orders. However, the ISM non-manufacturing index has shown sector expansion for 16 months.⁴

REMARKABLE GAINS FOR CRUDE & GOLD
Oil prices rose 4.49% last week, and they have soared 11.60% in the last three weeks. NYMEX crude ended the week at $112.79 a barrel. (The American Automobile Association said the price of a gallon of regular unleaded gas averaged $3.73 nationally as of Friday.) Gold advanced $45.30 last week to settle at $1,473.40 on the COMEX.^5,6

A FLAT LANDSCAPE FOR STOCKS
The Dow, NASDAQ and S&P 500 didn’t move much between Monday and Friday. Here is how things went for the week: DJIA, +0.03% to 12,380.05; S&P 500, -0.32% to 1,328.17; NASDAQ, -0.33% to 2,780.41.⁷

THIS WEEK: Monday, a fresh earnings season begins with 1Q results from Alcoa. Tuesday (assuming no federal shutdown), we have data on March import and export prices. On the schedule for Wednesday, we have the Commerce Department report on March retail sales and a new Beige Book from the Federal Reserve – and before the bell, earnings from JPMorgan. Scheduled for Thursday, we have the weekly initial and continuing claims data, the March PPI and 1Q results from Google and Hasbro. The March CPI, the initial University of Michigan March consumer sentiment survey and a report on March industrial output are all slated for Friday, and that day starts with 1Q results from Bank of America and Mattel.

% CHANGE	Y-T-D	1-YR CHG	5-YR AVG	10-YR AVG
DJIA	+6.93	+13.30	+2.27	+2.58
NASDAQ	+4.85	+14.10	+3.77	+5.93
S&P 500	+5.61	+11.95	+0.50	+1.68
REAL YIELD	4/8 RATE	1 YR AGO	5 YRS AGO	10 YRS AGO
10 YR TIPS	0.95%	1.58%	2.43%	3.52%

Sources: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 4/8/11^7,8,9,10
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – cnbc.com/id/42478476/ [4/7/11]
2 – blogs.wsj.com/marketbeat/ [4/8/11]
3 – money.cnn.com/2011/04/08/markets/thebuzz/index.htm [4/8/11]
4 – ism.ws/ISMReport/nonmfgROB.cfm [4/5/11]
5 – blogs.wsj.com/marketbeat/2011/04/08/data-points-energy-metals-483/ [4/8/11]
6 – charlotteobserver.com/2011/04/08/2208080/gas-prices-are-on-rise-again.html [4/8/11]
7 – cnbc.com/id/42498783 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F8%2F10&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F8%2F10&x=10&y=18 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F8%2F10&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F7%2F06&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F7%2F06&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F7%2F06&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=4%2F9%2F01&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=4%2F9%2F01&x=0&y=0 [4/8/11]
8 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=4%2F9%2F01&x=0&y=0 [4/8/11]
9 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [4/8/11]
9 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [4/8/11]
10 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
11 – montoyaregistry.com/Financial-Market.aspx?financial-market=401k-an-overview&category=2 [4/9/11]

Weekly Economic Update, March 14, 2011

BEST RETAIL SALES NUMBERS IN 4 MONTHS
The Census Bureau says that retail sales climbed 1.0% in February. That matched the median forecast of economists polled by Bloomberg News. Department store sales improved by 1.0% last month and restaurant sales improved by 1.2% (the best monthly gain in that category in a year). Auto sales saw a 2.3% gain in February. Overall U.S. retail sales were up 8.9% from a year before.^1,2

LOWEST CONSUMER SENTIMENT IN 5 MONTHS
Sometimes economic releases seem completely contradictory. While retail sales have improved, consumer sentiment has dipped – at least according to the University of Michigan’s initial March survey, which came in at 68.2, way below the final February mark of 77.5. Soaring gas prices would seem to be a factor. The index had been making progress back toward its 2002-2007 average reading of 89.³

ROUGH GOING FOR OIL & GOLD FUTURES
Last week’s run from risk sent the prices of these commodities downward. Oil futures settled at $101.16 a barrel Friday – that was a 3.12% week-over-week drop. The decrease reflected concern over reduction of refinery capacity and demand in Japan, one of the world’s leading oil importers. As for gold, it had its poorest week since mid-January, with prices slipping $6.70 on the COMEX over five days – a 0.47% weekly loss. Gold settled at $1,421.50 Friday as its five-week winning streak was snapped.⁴

DOW HOLDS ON TO 12,000
In light of last week’s momentous seismic and political events, the ups and downs of Wall Street seem relatively trivial. Somehow, the Dow, S&P 500 and NASDAQ managed to remain above the psychologically significant 12,000, 1,300 and 2,700 benchmarks Friday. For the week, they performed as follows: DJIA, -1.03% to 12,044.40; NASDAQ, -2.48% to 2,715.61; S&P 500, -1.28% to 1,304.27. The CBOE VIX gained 6.56% last week.⁵

THIS WEEK: No major economic releases are scheduled for Monday. Tuesday, there is an FOMC meeting at the Federal Reserve. Wednesday, we learn what happened with producer prices in February, and get data about February building permits and housing starts. Thursday brings the February edition of the Consumer Price Index and the Conference Board’s February leading indicator index, plus new initial and continuing claims data and a report on February industrial output. Also in the mix Thursday: before-the-bell earnings from FedEx and after-the-bell earnings from Nike. No major economic releases are scheduled for Friday.

% CHANGE	Y-T-D	1-YR CHG	5-YR AVG	10-YR AVG
DJIA	+4.03	+13.50	+1.75	+1.80
NASDAQ	+2.36	+14.66	+4.01	+4.12
S&P 500	+3.71	+13.39	+0.35	+1.05
REAL YIELD	3/11 RATE	1 YR AGO	5 YRS AGO	10 YRS AGO
10 YR TIPS	0.96%	1.49%	2.23%	3.52%

Source: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 3/11/11^5,6,7,8
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – bloomberg.com/news/2011-03-11/retail-sales-in-u-s-rose-1-in-february-most-in-four-months-on-job-gains.html [3/11/11]
2 – census.gov/retail/marts/www/marts_current.pdf [3/11/11]
3 – bloomberg.com/news/2011-03-11/u-s-michigan-consumer-sentiment-index-fell-to-68-2-in-march.html [3/11/11]
4 – blogs.wsj.com/marketbeat/2011/03/11/data-points-energy-metals-468/ [3/11/11]
5 – cnbc.com/id/42035735 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=3%2F11%2F10&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=3%2F11%2F10&x=10&y=18 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=3%2F11%2F10&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=3%2F10%2F06&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=3%2F10%2F06&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=3%2F10%2F06&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=3%2F12%2F01&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=3%2F12%2F01&x=0&y=0 [3/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=3%2F12%2F01&x=0&y=0 [3/11/11]
7 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [3/11/11]
7 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [3/11/11]
8 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
9 – montoyaregistry.com/Financial-Market.aspx?financial-market=what-are-your-options-for-rolling-over-a-401k&category=2 [3/13/11]

Weekly Economic Update, March 7, 2011

JOBS REPORT (NEARLY) LIVES UP TO EXPECTATIONS
Wall Street had high hopes for the February unemployment report. Would it show that more than 200,000 new jobs had been created? Well, it came close – the data revealed 192,000 net new jobs, the best increase in nearly a year. The jobless rate ticked down to 8.9% last month, and the number of underemployed Americans (those either without work or working part-time) dropped to 15.9% from 16.1% in January. On the downside, the Labor Department data showed that just 64.2% of the working-age population was either employed or seeking employment last month. You have to go back to 1985 to find a labor force participation rate that low.¹

WAGES UP 1.0% IN JANUARY
The payroll tax holiday promoted a dramatic increase in personal incomes last month. Additionally, the Commerce Department said that the personal savings rate improved by 0.4% in January to 5.8%. Yet personal spending increased by only 0.2% in January and actually slipped 0.1% in inflation-adjusted terms.²

SERVICE & MANUFACTURING SECTORS KEEP GROWING
According to new Institute for Supply Management surveys, the expansion of both sectors continued in February: the service sector reading improved by 0.3% to 59.7 and the manufacturing sector reading went up 0.6% to 61.4.³

OIL, GOLD & SILVER PRICES LEAP NORTH AGAIN
Gold cracked a new ceiling last Wednesday, hitting an intraday high of $1,440.10 per ounce. Friday, U.S. gold futures settled at $1,428.60 an ounce. Gold prices have climbed 6.53% over the last five weeks. Silver hit yet another 31-year high on Friday, with futures hitting $35.32 per ounce. Oil prices rose 6.68% last week alone, settling Friday at $104.42 a barrel; oil futures are up 14.27% YTD on the NYMEX.^4,5

A WINNING WEEK (BELIEVE IT OR NOT)
After five rather volatile trading days, the DJIA, S&P 500 and NASDAQ had all managed weekly advances. Their performances for the week: DJIA, +0.33% to 12,169.88; NASDAQ, +0.13% to 2,784.67; S&P 500, +0.10% to 1,321.15.⁶

THIS WEEK: No major economic releases on Monday or Tuesday. Wednesday brings a report on January wholesale inventories plus 4Q earnings from H&R Block. Thursday offers new initial and continuing claims data. Friday brings the initial March survey on consumer sentiment from the University of Michigan, Census Bureau data on retail sales in February, and a report on January business inventories. (In tech news, the iPad 2 is scheduled to ship Friday.)

% CHANGE	Y-T-D	1-YR CHG	5-YR AVG	10-YR AVG
DJIA	+5.12	+16.52	+2.08	+1.52
NASDAQ	+5.05	+21.48	+4.19	+2.99
S&P 500	+4.97	+17.65	+0.53	+0.64
REAL YIELD	3/4 RATE	1 YR AGO	5 YRS AGO	10 YRS AGO
10 YR TIPS	1.00%	1.44%	2.07%	3.52%

Source: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 3/4/11^6,7,8,9
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of the presenting party, nor their affiliates. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – nytimes.com/2011/03/05/business/economy/05jobs.html [3/4/11]
2 – marketwatch.com/story/income-of-workers-climbs-10-in-january-2011-02-28 [2/28/11]
3 – ism.ws/ISMReport/NonMfgROB.cfm [3/3/11]
4 – cnbc.com/id/41897407 [3/4/11]
5 – blogs.wsj.com/marketbeat/2011/03/04/data-points-energy-metals-466/ [3/4/11]
6 – cnbc.com/id/41907885 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=3%2F04%2F10&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=3%2F04%2F10&x=10&y=18 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=3%2F04%2F10&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=3%2F03%2F06&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=3%2F03%2F06&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=3%2F03%2F06&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=DJIA&closeDate=3%2F05%2F01&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=COMP&closeDate=3%2F05%2F01&x=0&y=0 [3/4/11]
7 – bigcharts.marketwatch.com/historical/default.asp?symb=SPX&closeDate=3%2F05%2F01&x=0&y=0 [3/4/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [3/4/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [3/4/11]
9 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
10 – Financial-Market.aspx?financial-market=financial-planning-where-do-you-begin&category=5 [3/6/11]

Weekly Economic Update, February 14, 2010

AN END IN SIGHT FOR FANNIE & FREDDIE
Friday, the Obama administration presented a plan to wind down Fannie Mae and Freddie Mac by 2018, with Treasury Secretary Timothy Geithner citing “very broad consensus” that the government should play “a much smaller role” in the housing market. So what will replace them? The plan puts three options before Congress. In one option, the government would leave the mortgage market save for the VHA, FHA and other existing agencies. Two other options would set up “re-insurance” programs. A limited version would guarantee private mortgages only in economic or real estate downturns; another would provide a backstop for mortgage investments already guaranteed by private insurers. All three options would pave the way for higher mortgage costs. The Treasury and HUD have also suggested phasing in a short-term requirement for borrowers as Fannie and Freddie are unwound: homebuyers would have to put 10% down for any mortgage backed by the GSEs.^1,2

CONSUMERS FEEL MORE UPBEAT
The latest Reuters/University of Michigan consumer sentiment survey is in, and the initial February reading is 75.1, an improvement from the final January mark of 74.2. This is the best reading since June 2009. The survey’s current conditions index rose 5.0% to 86.8 – the highest it has been in 37 months.³

GOLD ADVANCES, OIL PULLS BACK
Gold prices climbed 0.86% last week to settle at $1,359.90 an ounce Friday – it was the best week for the precious metal YTD. Oil and natural gas prices fell to their lowest levels since November on Friday after Egyptian president Hosni Mubarak announced his resignation; natural gas futures fell 9.28% on the week, and oil slipped 3.88% for the week to settle at $85.58 per barrel on the NYMEX.⁴

DJIA CLOSES AT HIGHEST MARK SINCE 6/16/08
The Dow logged an eight-day winning streak from January 31 to February 9, and it has advanced in 10 of the past 11 weeks. The weekly performance? DJIA, +1.50% to 12,273.26; NASDAQ, +1.45% to 2,809.44; S&P 500, +1.39% to 1,329.15.⁵

THIS WEEK: Very little is scheduled for either Monday or Friday. Tuesday brings January retail sales numbers and a report on December business inventories, plus 4Q earnings from Dell, Barclays and Tesla. Wednesday offers the January Producer Price Index, the most recent FOMC minutes, reports on January housing starts and industrial output and 4Q results from Comcast and CBS. Thursday, we get the January Consumer Price Index, the Conference Board’s latest LEI, new initial claims numbers and earnings from Nordstrom.

% CHANGE	Y-T-D	1-YR CHG	5-YR AVG	10-YR AVG
DJIA	+6.01	+20.99	+2.48	+1.21
NASDAQ	+5.90	+29.03	+4.84	+1.28
S&P 500	+5.69	+23.24	+0.98	-0.00009
REAL YIELD	2/11 RATE	1 YR AGO	5 YRS AGO	10 YRS AGO
10 YR TIPS	1.36%	1.47%	2.09%	3.52%

Source: cnbc.com, bigcharts.com, treasury.gov, treasurydirect.gov – 2/11/11^5,6,7,8
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of Statler Financial Services, Inc. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx^®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – blogs.abcnews.com/george/2011/02/the-end-of-fannie-mae-and-freddie-mac.html [2/11/11]
2 – cnbc.com/id/41529671 [2/11/11]
3 – marketwatch.com/story/us-consumer-sentiment-rises-in-february-2011-02-11 [2/11/11]
4 – blogs.wsj.com/marketbeat/2011/02/11/data-points-energy-metals-459/ [2/11/11]
5 – cnbc.com/id/41537483 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=DJIA&close_date=2%2F11%2F10&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=COMP&close_date=2%2F11%2F10&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=SPX&close_date=2%2F11%2F10&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=DJIA&close_date=2%2F10%2F06&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=COMP&close_date=2%2F10%2F06&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=SPX&close_date=2%2F10%2F06&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=DJIA&close_date=2%2F12%2F01&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=COMP&close_date=2%2F12%2F01&x=0&y=0 [2/11/11]
6 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=SPX&close_date=2%2F12%2F01&x=0&y=0 [2/11/11]
7 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [2/11/11]
7 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [2/11/11]
8 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]
9 – http://montoyaregistry.com/Financial-Market.aspx?financial-market=wills-and-living-trusts&category=30 [2/13/11]

Weekly Economic Update, January 24, 2010

TIME FOR OPTIMISM IN THE HOUSING MARKET
Existing home sales have improved in five of the past six months. In December, they rose 12.3%. While December’s sales pace was still 2.9% below year-ago levels, the National Association of Realtors also noted that the glut of unsold homes had been reduced to 8.1 months of supply compared to 9.5 months’ worth in November. The median existing home sale price fell 1.0% last month to $168,800.^1,2

LEI INDEX SHOWS MORE IMPROVEMENT
The Conference Board’s Leading Economic Indicators index rose 1.0% in December. Pair that with its 1.1% ascent in November and you have the two best months since it rose 1.4% in March. The building permits indicator showed the most improvement.³

HOUSING STARTS DOWN, PERMITS WAY UP
Government data seems to affirm one of the findings of the Conference Board index. The Census Bureau just reported a 16.7% increase in building permits in December (the best month in that category since March). Yet housing starts were down 4.3% in December, hitting a 14-month low.⁴

GOLD & OIL TURN LOWER
Optimism about the global economy seems to have increased appetites for risk, and last week you also had the fear that China might hike interest rates. So gold lost 1.43% for the week to settle Friday at $1,341.00 an ounce. Oil prices plunged 3.74% on the week to end up at $89.11 a barrel Friday.⁵

DOW ADVANCES AGAIN
The DJIA posted its eighth straight weekly gain, rising 0.72% across four market days to settle at 11,871.84 Friday. The S&P 500 (-0.76% to 1,283.35) and the NASDAQ (-2.39% to 2,689.54) saw weekly retreats.⁶

THIS WEEK: Monday brings earnings reports from McDonald’s, Halliburton, Amgen and American Express. Tuesday, we have the Conference Board’s latest consumer confidence index, the November Case-Shiller home price index and earnings from 3M, US Steel and Verizon. Wednesday brings an FOMC meeting and December new home sales figures plus earnings from Boeing, Netflix and Xerox. Thursday gives us weekly jobless claims figures, December durable goods orders and November pending home sales plus earnings from AT&T and Caterpillar. Friday offers earnings from Chevron and Honeywell, the final January University of Michigan consumer sentiment survey, and the first 4Q 2010 GDP estimate.

% CHANGE	Y-T-D	1-YR CHG	5-YR AVG	10-YR AVG
DJIA	+2.54	+14.26	+2.26	+1.22
NASDAQ	+1.38	+18.71	+3.93	-0.25
S&P 500	+2.04	+14.95	+0.35	-0.44
REAL YIELD	1/21 RATE	1 YR AGO	5 YRS AGO	10 YRS AGO
10 YR TIPS	1.20%	1.29%	1.94%	3.52%

Source: cnbc.com, bigcharts.com, ustreas.gov, bls.gov – 1/21/11^6,7,8,9
Indices are unmanaged, do not incur fees or expenses, and cannot be invested into directly.
These returns do not include dividends.

 
This material was prepared by Peter Montoya Inc., and does not necessarily represent the views of Statler Financial Services, Inc. This information should not be construed as investment, tax or legal advice. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. The NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. It is not possible to invest directly in an index. NYSE Group, Inc. (NYSE:NYX) operates two securities exchanges: the New York Stock Exchange (the “NYSE”) and NYSE Arca (formerly known as the Archipelago Exchange, or ArcaEx®, and the Pacific Exchange). NYSE Group is a leading provider of securities listing, trading and market data products and services. The New York Mercantile Exchange, Inc. (NYMEX) is the world’s largest physical commodity futures exchange and the preeminent trading forum for energy and precious metals, with trading conducted through two divisions – the NYMEX Division, home to the energy, platinum, and palladium markets, and the COMEX Division, on which all other metals trade. Additional risks are associated with international investing, such as currency fluctuations, political and economic instability and differences in accounting standards. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional.

Statler Financial Services, Inc. is registered as an investment adviser with the state of Florida. The presence of this Web site on the Internet shall in no direct or indirect way to be construed or interpreted to suggest Statler Financial Services, Inc. is soliciting to sell advisory services or offering to sell advisory services to residents of any other state other than the state of Florida.

Citations.
1 – marketwatch.com/story/existing-home-sales-jump-12-in-december-2011-01-20?dist=beforebell [1/20/11]
2 – philly.com/inquirer/business/20110121_Existing-home_sales_continue_to_climb.html [1/21/11]
3 – npr.org/2011/01/20/133083073/leading-indicators-rise-pointing-to-stronger-growth [1/20/11]
4 – theatlantic.com/business/archive/2011/01/housing-starts-sink-as-permits-soar-in-december/69759/ [1/19/11]
5 – blogs.wsj.com/marketbeat/2011/01/21/data-points-energy-metals-444/ [1/21/11]
6 – cnbc.com/id/41198149 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=DJIA&close_date=1%2F21%2F10&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=COMP&close_date=1%2F21%2F10&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=SPX&close_date=1%2F21%2F10&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=DJIA&close_date=1%2F20%2F06&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=COMP&close_date=1%2F20%2F06&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=SPX&close_date=1%2F20%2F06&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=DJIA&close_date=1%2F7%22F01&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=COMP&close_date=1%2F7%22F01&x=0&y=0 [1/21/11]
7 – bigcharts.marketwatch.com/historical/default.asp?detect=1&symbol=SPX&close_date=1%2F7%22F01&x=0&y=0 [1/21/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyield [1/21/11]
8 – treasury.gov/resource-center/data-chart-center/interest-rates/Pages/TextView.aspx?data=realyieldAll [1/21/11]
9 – treasurydirect.gov/instit/annceresult/press/preanre/2001/ofm11001.pdf [1/10/01]