Weekly Commentary – June 20, 2011

THE MARKETS:

Though our economic growth is being challenged by some strong headwinds, including high food prices, high gas prices, and a soft housing market, good news came at the right time last week. The Conference Board reported on Friday that its index of leading economic indicators grew by 0.8% in May.[i] This represents the largest increase since February and is a strong improvement over the initial forecast. Some of the things that helped lift the index were:

• Federal Reserve policies designed to help financial markets.
• An increase in building permits, which signal future construction.
• A boost in consumer confidence as gas prices fell.
• Fewer people applying for unemployment benefits. [ii]

This report reaffirms what many economists have already been saying – while we are clearly facing some obstacles, the overall picture is improving. According to Moody’s analytics, economists are anticipating second-quarter growth between 2% and 2.5%. “Consumers are not panicking. We should begin to emerge from the soft patch in the second half of the year; a lot of the drags on the recovery are fading,” said Ryan Sweet, a senior economist there.[iii]

In related news, the Dow rose for the first time since April and the S&P 500 broke a six-week losing streak by climbing 0.3%. In addition, suppliers are finally able to predict full rebounds from the March Japanese earthquake, with Honda projecting a return to normal production in August[iv] and Toyota following suit in September.[v]  While the economic recovery will likely continue to ebb and flow, these are some of the signs that we are still headed in the right direction.

ECONOMIC CALENDAR:

 Tuesday – Existing Home Sales

Wednesday – EIA Petroleum Status Report, FOMC Meeting

Thursday – Jobless Claims, New Home Sales

Friday – Durable Goods Orders, GDP

Data as of 06/17/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	0.04	1.10	13.9	0.32	0.47
Dow	0.44	3.69	15.0	1.80	1.30
NASDAQ	-1.03	-1.37	13.4	4.57	2.90
MSCI EAFE	-0.79	0.76	19.1	1.32	2.58
10-year Treasury Note (Yield Only)	2.97	NA	3.19	5.13	5.26

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

The Senate voted Thursday to cut the $5 billion-a-year subsidy given to oil refiners for blending ethanol into gasoline. Provided in the form of tax credits, the subsidy gives 45 cents a gallon to refiners who use ethanol, a renewable fuel additive that comes mainly from corn in the U.S..[vi] 

Ownership of the Los Angeles Dodgers baseball team will be determined by a one-day divorce trial. The outcome will decide whether Frank McCourt is the sole owner, or if the team should be considered community property, which could likely lead to a sale of the team.[vii]

Microsoft won antitrust approval to complete the purchase of Skype, an internet phone service. Its largest acquisition to date, the company will buy Skype for $8.5 billion.[viii]

In the United States, 176 million people watched online videos last month, much of it on YouTube, according to the latest survey by comScore. Each person watched 15.9 hours on average.[ix]

QUOTE OF THE WEEK:

“In the depth of winter, I finally learned that within me there lay an invincible summer.” – Albert Camus
RECIPE OF THE WEEK:

Red, White, and Blue Parfaits

From: Better Homes and Gardens
This sweet tart mousse takes only 20 minutes to make and provides a light, airy dessert option.

Servings: 6 servings

Total: 15 minutes

Ingredients:                                                                                                                                  

1 8-ounce carton vanilla low-fat yogurt

1 /4 teaspoon almond extract or 1/ 2 teaspoon vanilla

1 /2 of an 8 ounce container frozen light whipped dessert topping, thawed

3 cups fresh raspberries and/or cut-up fresh strawberries

3 cups fresh blueberriesfind more recipes with this ingredient

Store Brand Lemons 2 for $1.00
Medium
thru 2011-06-14

Albertson’s

Store Brand Lemons 2 for $5.00
Large
Loyalty Card Required, 2 Lb.
thru 2011-06-14

Winn-Dixie

Directions:

1. In a large bowl, stir together yogurt and almond extract or vanilla. Fold in whipped topping.

2. To serve, in six 12-ounce glasses or dessert dishes, alternate layers of the berries with layers of the yogurt mixture.

GOLF TIP OF THE WEEK:

Defective Putter?

If your putts are always crooked and you can’t figure out why, it may not be your fault. Even with expensive putters, it has become relatively common for grips to be assembled improperly. If you haven’t already, it is a good idea to check the grip on your putter to ensure it is not crooked. If you don’t own a vice, you may need a friend to help you out. Here’s how to perform the check:

Wrap a rag around the shaft of your putter and clamp it horizontally in a vice (gently, just enough to hold it). Make sure the putting face is turned upward so you can place a level on it. Once you level the putting face, place the level across the flat of the putter grip. If the bubble is not centered, your grip is crooked. Even a couple degrees will severely affect your putts, and it gets worse when the putt is long.

 

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Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

If you would like to opt-out of future emails, please reply to this email with UNSUBSCRIBE in the subject line.

Investment advisory services offered through Calandra Wealth Management, LL – A Georgia Registered Investment Advisor.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

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[i] http://www.conference-board.org/data/bcicountry.cfm?cid=1

[ii] http://www.usatoday.com/money/economy/2011-06-17-slow-economic-growth_n.htm

[iii] http://news.yahoo.com/s/nm/20110614/bs_nm/us_usa_economy_retail

[iv] http://www.investmentnews.com/article/20110617/FREE/110619944/-1/INDaily01&dailycount=4&issuedate=20110617

[v] http://www.msnbc.msn.com/id/43430410/ns/business-autos/

[vi] http://www.msnbc.msn.com/id/43431407/ns/politics/

[vii] http://www.marketwatch.com/story/mccourt-may-keep-dodgers-after-divorce-deal-2011-06-17

[viii] http://www.msnbc.msn.com/id/43446983/ns/business-us_business/

[ix] http://www.sfgate.com/cgi-bin/blogs/techchron/detail?entry_id=91317#ixzz1Phkkl74B

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Weekly Commentary – June 13, 2011

THE MARKETS:

With hiring at a crawl, home prices at a low, consumer and business spending slowing, and the stock market logging its sixth straight week of losses, headlines continue to declare doom and gloom.[i] As is frequently the case, all this negative press has caused investor sentiment to swing wildly. The latest American Association of Individual Investors (AAII) survey shows that bearish sentiment jumped 14.2% last week alone.[ii] Despite the bearish sentiment though, there are positive markers that bode well for a slow-growth recovery.

While leading economists have trimmed their forecast for 2011 GDP growth to 2.7% from 3% a month ago, they are still predicting stronger growth for the second half of the year. 2.7% isn’t that far off the 2.9% growth we saw in 2010.[iii] Additionally, manufacturing continues to expand and the ISM Non-Manufacturing Index for May reported that economic activity grew in May for the 18th consecutive month, providing a pleasant surprise last Friday.[iv] And while U.S. supply was significantly reduced in the auto and technology sector as a result of the earthquake in Japan, the problems are being steadily resolved.[v]

Lower commodity prices are also a positive side effect of slowed growth. All things being equal, as commodity prices fall, growth prospects improve. In fact, Goldman Sachs Group recently turned bullish on commodities, making the case that dropping prices will stimulate growth and send commodity prices rising again.[vi] This aptly illustrates the cyclical nature of our economy.

Strong corporate earnings have allowed for cheaper stocks. Interest rates remain extremely low and aren’t expected to start rising until at least a year from now. [vii] U.S. exports climbed to an all-time high on Thursday, increasing to $175.6 billion in April,[viii] and now comprise 13% of the GDP.[ix] As you can see, there is still a lot of positive information out there.

Market sentiment and media reports often go hand-in-hand. When circumstances seem glum, the good news tends to get buried behind fearful forecasts. And while it can be tempting to go with the flow and join the ranks of anxious investors, we urge you to examine every part of the economic picture before drawing conclusions.

ECONOMIC CALENDAR:                                                                                                                       Tuesday – Producer Price Index, Retail Sales, Business Inventories                                 Wednesday – Consumer Price Index, Empire State Mfg Survey, Industrial Production, Housing Market Index, EIA Petroleum Status Report
Thursday – Housing Starts, Jobless Claims, Philadelphia Fed Survey                                                 Friday – Consumer Sentiment

Data as of 06/10/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	-2.24	1.06	16.9	0.30	0.05
Dow	-1.64	3.23	17.5	1.95	0.89
NASDAQ	-3.26	-0.34	19.2	4.76	1.94
MSCI EAFE	-2.95	1.56	24.6	1.48	2.36
10-year Treasury Note (Yield Only)	3.00	NA	3.32	4.98	5.33

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

Oil prices fell 2.5% Friday on reports that Saudi Arabia plans to increase production 13% to 10 million barrels per day. The increased production is expected to slow this year’s 26% rise in oil prices and the 2% increase in gasoline.[x]

The Fed will buy $50 billion of Treasury’s in the final series of government bond purchases that marks the last phase of QE2. Launched in November 2010, the purchases will end June 30, though the stimulus will continue with the Fed reinvesting maturing securities.[xi]

The White House confirmed that it is considering cutting the payroll taxes that businesses pay. In December employees began paying 4.2% of their wages, two percentage points less than usual, while employers continue to pay the standard 6.2%.  The potential policy change hopes to improve employment numbers by promoting hiring.[xii]

Paying a total of $2,626,411, an anonymous donor has won lunch with Warren Buffett.  Already winning the eBay auction, the bidder topped their previous offer by $100. Proceeds from the auction benefit Glide, an organization that benefits poverty-stricken residents of the San Francisco Bay area.[xiii]

QUOTE OF THE WEEK:

Nothing can stop the man with the right mental attitude from achieving his goal; nothing on earth can help the man with the wrong mental attitude. – Thomas Jefferson
RECIPE OF THE WEEK:

Strawberry Bruschetta

From: Better Homes and Gardens
Makes 24 servings.

 

Ingredients:
1 8-ounce loaf baguette-style French bread

1 8-ounce tub cream cheese

1 tablespoon honey

2 cups strawberries, sliced

1/4 cup strawberry jelly

 

Directions:

1. Heat oven to 375 degree F. Cut bread into 24 slices about 1/4-inch thick. Place in a single layer on an ungreased cookie sheet. Bake about 10 minutes or until lightly brown, turning once.

2. Stir together cream cheese and honey; spread on one side of each bread slice. Arrange strawberry slices on the cheese. Heat jelly in a custard cup in a microwave oven on high power for 30 seconds; stir (or heat and stir in a small saucepan until melted). Brush jelly over strawberries. Makes 24 servings.

 

Make-Ahead Tip:

Toast the bread and store in a covered container at room temperature up to 2 days or freeze up to 1 month. Stir together the cream cheese and honey; cover and refrigerate up to 2 days.

 

GOLF TIP OF THE WEEK:

Focus on the Finish

A good finish is the bookend to a good swing. While practicing, one of the best ways to develop a proper finish is to start at the address position and slowly take your club to the finished position with no back swing. Pose in a perfect follow-through, hold the pose, and feel it. Once you sense what a good finish position feels like, make a slow, short swing such as a chip or pitch that concludes in that exact position and pay no attention to your back swing for the moment. Just make a swing that finishes in this balanced follow-through position. Repeat the drill several times, and slowly work your way back up to a full swing.

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

If you would like to opt-out of future emails, please reply to this email with UNSUBSCRIBE in the subject line.

Investment advisory services offered through Calandra Wealth Management, LLC. – A Georgia Registered Investment Advisor.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

 

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[i] http://money.cnn.com/2011/06/10/news/economy/recession_economic_survey/index.htm?iid=EL

[ii] http://www.aaii.com/sentimentsurvey

[iii] http://money.cnn.com/2011/06/10/news/economy/recession_economic_survey/index.htm?iid=HP_LN

[iv] http://www.ism.ws/ISMReport/nonmfgROB.cfm

[v] http://www.smartmoney.com/invest/stocks/why-the-market-worrywarts-are-wrong-1307117379674/

[vi] http://www.smartmoney.com/invest/stocks/why-the-market-worrywarts-are-wrong-1307117379674/

[vii] http://www.smartmoney.com/invest/stocks/why-the-market-worrywarts-are-wrong-1307117379674/

[viii] http://www.nytimes.com/2011/06/10/business/10markets.html

[ix] http://online.wsj.com/article/BT-CO-20110609-708605.html

[x] http://www.businessweek.com/ap/financialnews/D9NP4RCG1.htm

[xi] http://www.cnbc.com/id/43356436

[xii] http://blogs.marketwatch.com/election/2011/06/10/employer-payroll-tax-proposal-panned/

[xiii] http://money.cnn.com/2011/06/10/news/companies/buffett_lunch/index.htm?iid=HP_LN

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Weekly Commentary – June 6, 2011

THE MARKETS:

U.S. Stocks fell for the fifth straight week after disappointing reports on jobs and manufacturing fueled concerns that economic growth is slowing. The S&P 500 slid 2.3% to 1,300, its lowest level since March, while the Dow fell 290.32 points, or 2.3%, to 12,151.[1] Should this be cause for alarm? This week, we would like to share what some industry insiders have recently said about the matter.

“Our view is that we’re clearly seeing a slowdown, but you’d need a shock to the system to see things get much worse from here. There’s little room for error, but there are reasons to expect growth, and we don’t see a whole heck of a lot more downside.”[2]
- Andrew Goldberg, market strategist at J.P. Morgan Funds in New York

“We don’t see material downside from here. A five percent correction is appropriate for the slowdown we’re experiencing, and over the intermediate term, our expectation is that we’ll regain some momentum.”[3]
- Jim McDonald, chief investment strategist at Northern Trust Global Investments

“Investors should be looking for buying opportunities. The economy is not as bad as it looks right now.[4]
- Byron Wien, vice chairman of Blackstone Advisory Partners

From experience we know that the “experts” aren’t always right. In this case, we agree things are not as bad as some of the headlines make them out to be. The recovery is progressing slower than we would like, but it is still progressing. Until employers start persistently hiring again, the housing market gets straightened out, and Washington figures out what to do about the deficit, the recovery is going to ebb and flow.

The events that ultimately led up to the so-called Great Recession took years, even decades to unfold. In a similar way, the economy will take years to recover, not weeks or months. It is good to keep this fact in mind when we pick up the newspaper, turn on the television, or visit our favorite news website.

As always, we are vigilantly monitoring the situation and pledge to keep you informed about key issues. If you have any questions or concerns about how recent events could affect your financial future, please don’t hesitate to reach out to us. It is our pleasure to serve you!

ECONOMIC CALENDAR:
Monday: Ben Bernanke Speaks
Tuesday: Consumer Credit
Wednesday: EIA Petroleum Status Report, Beige Book
Thursday: International Trade, Jobless Claims
Friday: Import and Export Prices, Treasury Budget                                                                                                                                     

Data as of 06/03/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	-2.32	-3.38	17.9	0.19	0.31
Dow	-2.33	4.96	18.5	1.61	1.06
NASDAQ	-2.29	3.01	18.6	4.63	2.71
MSCI EAFE	0.21	4.65	25.6	0.22	2.64
10-year Treasury Note (Yield Only)	3.06	NA	3.38	4.99	5.35

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

Greece has agreed to speed its sale of state-owned property and cut billions of dollars more from its budget to satisfy requirements for promised loans from the International Monetary Fund and other European countries.[5]

The president of Toyota Motors said on Saturday he expects the automaker to resume full production globally in November and its Japanese output is expected this month to recover to 90% of levels seen before the March earthquake.[6]

Two bottles of the world’s oldest Champagne, which spent about 170 years at the bottom of the ocean, sold for 54,000 euros ($78,400) at an auction in Finland today.[7]

The computer phishing attack that Google says originated in China was directed, somewhat indiscriminately, at an unknown number of White House staff officials, setting off the Federal Bureau of Investigation inquiry that began this week, according to several administration officials.[8]

QUOTE OF THE WEEK:

“Intellectual growth should commence at birth and cease only at death.” – Albert Einstein
RECIPE OF THE WEEK:

Hickory Nut Macaroons

From: Better Homes and Gardens

Servings: 36 cookies

Total: 30 minutes

Ingredients:

4 egg whites

4 cups sifted powdered sugar

2 cups chopped hickory nuts, black walnuts, or toasted pecans

Directions:

1. In a large mixing bowl beat egg whites with an electric mixer on high speed until stiff, but not dry, peaks form. Gradually add powdered sugar, about 1/4 cup at a time, beating at medium speed just until combined. Then beat 1 to 2 minutes more or until well combined. Fold in the nuts by hand.

2. Drop mixture by rounded teaspoons 2 inches apart onto parchment-lined or foil-lined cookie sheets (grease foil).

3. Bake in a 325 degree F oven about 15 minutes or until edges are very light brown.* Transfer cookies to wire racks and let cool. Store in a tightly covered container at room temperature for up to 3 days or in the freezer for up to 3 months.

 

Note: It is normal for these cookies to split around the edges as they bake.

GOLF TIP OF THE WEEK:

Hitting From a Bald Spot

Lies without much grass under the ball can be a problem, but there are specific things you can do to increase your chances of nailing your shot.

To guard against hitting fat, place your weight on your front hip and stand closer to the ball so your club shaft is more vertical and your club head is on its toe. This will reduce the bounce of the club, and decrease your chance of snagging your club head because less of its surface is exposed to the ground. Your upright posture also causes you to raise your hands at address, protecting your wrists from over cocking.  Since the heel of your club is slightly off the ground, position the ball toward the toe of your club where you need to make contact. A slightly off-center hit produces a much softer shot that will allow for a full swing.

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

If you would like to opt-out of future emails, please reply to this email with UNSUBSCRIBE in the subject line.

Investment advisory services offered through Calandra Wealth Management, LLC – A Georgia Registered Investment Advisor.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[1] http://www.bloomberg.com/news/2011-06-04/dow-falls-in-longest-slump-since-2004-amid-concern-about-economy.html

[2] http://www.reuters.com/article/2011/06/03/markets-stocks-idUSN0317002220110603

[3] http://www.reuters.com/article/2011/06/03/markets-stocks-idUSN0317002220110603

[4] http://www.bloomberg.com/news/2011-06-04/dow-falls-in-longest-slump-since-2004-amid-concern-about-economy.html

[5] http://www.washingtonpost.com/business/economy/greek-european-officials-agree-on-additional-cuts/2011/06/03/AG1BXKIH_story.html

[6] http://www.reuters.com/article/2011/06/04/us-toyota-president-idUSTRE7530PF20110604

[7] http://www.bloomberg.com/news/2011-06-02/world-s-oldest-champagne-from-shipwreck-may-sell-for-145-million-a-bottle.html

[8] http://www.nytimes.com/2011/06/04/technology/04hack.html

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Market Commentary – May 30, 2011

THE MARKETS:

Have you ever been through a period of recovery in your life? Perhaps you received an injury of some sort and needed time to heal. While recovering, we don’t usually function at our peak level do we? We might experience a measure of discomfort or decreased mobility for a time. We may have good days and bad days. This aptly illustrates what our economy is going through.

From late 2007 to mid 2009, we sustained a serious injury. Since that time official data shows that we are recovering, but it doesn’t always feel like we are. Disruptions from the Japanese earthquake and tsunami have had a direct impact on manufacturing and the auto industry in particular. The spike in oil and gasoline prices has affected consumer and business spending. More recently, European sovereign debt woes and a batch of soft economic reports have created tension for stock markets. What does this all mean? It means we are not functioning at our peak level because we’re going through a period of healing. Until we are fully recovered, we are going to experience ups and downs.

We’ve come far, relatively fast – especially in the stock market. With the Dow up some 22% in the last 12 months[i], we must reasonably acknowledge that such rapid growth is not sustainable. We may have to go lower before we go higher. Since the markets began to rise in March 2009, we have seen a number of 5-7 % pullbacks[ii] and we may see more of them in the future.

To use another analogy, if you’re on a bumpy plane ride, you don’t strap on a parachute and jump out the door at the first sign of turbulence; you simply buckle your seatbelt and try to relax. That is precisely what we are encouraging you to do. In our opinion, now is not the time to give up on our expectations for a full recovery.

ECONOMIC CALENDAR:
Monday: US Holiday – Memorial Day
Tuesday: Chicago PMI, Consumer Confidence, S&P Case-Shiller Home Price Index
Wednesday: Motor Vehicle Sales, ADP Employment Report, ISM Manufacturing Index, Construction Spending
Thursday: Monster Employment Index, Jobless Claims, Productivity and Costs, Factory Orders
Friday: Employment Situation, ISM Non-Manufacturing Index  

 

 

Data as of 05/27/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	-0.16	5.84	20.7	0.80	0.42
Dow	-0.56	7.46	21.3	2.06	1.31
NASDAQ	-0.23	5.43	22.8	5.31	2.42
MSCI EAFE	0.53	4.43	24.6	0.34	2.39
10-year Treasury Note (Yield Only)	3.15	NA	3.34	5.05	5.49

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

Gas prices have come down in May after reaching nearly $4 last month, giving a lift to how people feel about the economy and raising hopes that they might be willing to spend more. Benchmark oil for July delivery was down 70 cents to $99.89 a barrel in electronic trading on the New York Mercantile Exchange on Friday.[iii]

The European Union is working on a second bailout package for Greece in a race to release vital loans next month and avert the risk of the euro zone country defaulting, EU officials said on Monday.[iv]

China will raise retail electricity prices starting next month, the first increase in more than a year, to curb demand and boost power generation as the nation battles with a supply shortfall that may be the worst in history.[v]

A woman’s attempt to sell a purported $1.7 million moon rock was thwarted last week when the buyer she met with turned out to be an undercover agent working for NASA. The sting, which according to the Riverside County (Calif.) Sheriff’s Dept. came after several months of investigation, took place at a Denny’s restaurant in Lake Elsinore, Calif., about 70 miles southeast of Los Angeles. The woman, who authorities did not identify, was detained but not arrested pending the “moon rock” being verified as being of lunar origin.[vi]

QUOTE OF THE WEEK:

“To fly we have to have resistance.”  — Maya Lin
RECIPE OF THE WEEK:

Focaccia-Camembert Pizza

 

From: Better Homes and Gardens
This quick and easy pizza recipe features the perfect combination of cheese, nuts, and vegetables. Better yet, it will be on your table in 30 minutes or less.

Total time: 20 mins

Ingredients:

4 6-inch Italian flatbreads (focaccia)

2 large tomatoes, sliced

Salt and ground black pepper

1 8-oz. round Camembert cheese, chilled

1/3 cup chopped walnuts

2 Tbsp. snipped fresh chives

 Directions:

1. Heat broiler. Place flatbreads on the unheated rack of a broiler pan. Top with tomato slices; sprinkle with salt and pepper. Cut cheese in thin slices. Place cheese slices on tomato slices.

2. Broil 4 to 5 inches from heat about 2 minutes or until cheese begins to melt. Sprinkle with walnuts; broil 1 minute more. Sprinkle with fresh chives. Serves 4.

GOLF TIP OF THE WEEK:

Push & Tap, Not Swing, When Putting

The best putters are able to roll the ball smoothly so that it skids very little on its way to the hole. Key to this is keeping the putter head low to the ground throughout the stroke. Rather than picking the putter up in the back swing and then making a descending hit on the ball, focus more on keeping the club head low while pushing the ball gently. A descending hit will actually put backspin on the ball and cause it to jump and skid off the putter face.

 

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

Investment advisory services offered by Calandra Wealth Management, LLC – A Registered Investment Advisor.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[i] http://www.google.com/finance?q=INDEXDJX:.DJI

[ii] http://www.cnbc.com/id/43152790

[iii]http://www.google.com/hostednews/ap/article/ALeqM5iOfbpxuwPYJCUVIXJwgICceAM05Q?docId=7f22d6d4dcfb44118b996eccc3b12597

[iv] http://www.reuters.com/article/2011/05/30/us-eurozone-idUSTRE74Q1YV20110530

[v] http://www.bloomberg.com/news/2011-05-30/china-raises-industrial-power-prices-in-15-provinces-to-help-ease-shortage.html

[vi] http://www.cbsnews.com/stories/2011/05/27/scitech/main20066784.shtml

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Weekly Commentary – May 16, 2011

SPECIAL EDITION: Annual Report on the financial health of Medicare and Social Security

Each year the Trustees of the Social Security and Medicare trust funds report on the current and projected financial status of the two programs. This year’s report was released on Friday, and we thought you might like to know about the key findings.

According to government predictions, Medicare’s largest trust fund will run out of money in 2024, five years earlier than projected last year. The program’s faulty finances are, in part, a symptom of the sluggish economy. Higher projected health-care costs and lower payroll taxes are being blamed for the shortfall. Pressure will doubtless intensify in Washington as a bipartisan effort is made to shore up the 46-year-old healthcare plan that covers more than 47 million elderly and disabled Americans.

Regarding Social Security, the report showed that expenditures exceeded the program’s non-interest income in 2010 for the first time since 1983, and that the program faces a $46 billion deficit for 2011. The projected point at which the combined Trust Funds will be exhausted comes in 2036 – one year sooner than projected last year. At that time, there will be sufficient income to pay only 77% of scheduled benefits.

The report concluded by saying that, “projected long-run program costs for both Medicare and Social Security are not sustainable under currently scheduled financing, and will require legislative corrections if disruptive consequences for beneficiaries and taxpayers are to be avoided. The financial challenges facing Social Security and Medicare should be addressed soon. If action is taken sooner rather than later, more options and more time will be available to phase in changes so that those affected can adequately prepare.”[1]

While it is impossible for us to address all the nuances of Medicare and Social Security in this brief communication, let alone all the proposed solutions, we wish to draw your attention to the two italicized words at the end of the previous paragraph: adequately prepare. Of all the information we found in the eye-crossing 244 page report (you can read it here: http://www.socialsecurity.gov/OACT/TR/2011/tr2011.pdf), these two words strike us as most significant.

No one can predict with certainty what the future of Medicare and Social Security will be. Most people agree that reforms are needed and that changes will be made, but what those changes will be and how they will affect beneficiaries, remains to be seen. What we do know, is that we must adequately prepare in every way possible.

Adequate preparation requires a number of things. It involves taking your life expectancy into consideration when deciding what withdrawal rates are sustainable in your portfolio. It includes choosing an asset allocation that is likely to keep pace with inflating healthcare costs. It means considering whether long-term-care or other insurance coverage is right for you. It dictates determining the best time to start collecting benefits.  Many important decisions must be made when preparing for the future and it is unwise to rely too heavily on government programs for support. Although making the right decisions can be challenging, we are here to guide you through the process.

If you have questions about how anything in this report could affect you or your loved ones, please don’t hesitate to reach out to us. We are here to serve you.

ECONOMIC CALENDAR:
Monday – Empire State Manufacturing Survey, Treasury International Capital, Housing Market Index
Tuesday – Housing Starts, Redbook, Industrial Production
Wednesday – FOMC Minutes
Thursday – Jobless Claims, Existing Home Sales, Philadelphia Fed Survey, Leading Indicators
                                                                                                                    

Data as of 05/13/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	-0.18	6.37	15.6	0.72	0.74
Dow	-0.34	8.79	16.8	2.13	1.64
NASDAQ	0.03	6.62	18.1	5.21	3.42
MSCI EAFE	-1.61	4.11	18.9	-0.55	2.37
10-year Treasury Note (Yield Only)	3.16	NA	3.56	5.19	5.48

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

The average 401(k) balance rose to $74,900 at the end of March, Fidelity said, the highest since the firm began tracking the data in 1998 and a 12% jump from a year ago. Nearly 10% of participants raised their contribution rate during the first quarter, also a record.[2]

Consumers continued to feel the pinch at grocery stores and gasoline stations in April as higher prices pushed up a widely used index of inflation to the fastest 12-month pace since the later part of 2008, according to government figures released Friday. The Labor Department said the consumer price index, the most widely used measure of inflation, was up 0.4 percent in April from March, and up 3.2 % from a year earlier.[3]

US oil drilling activity slipped this week, down by 6 rotary rigs compared with a year ago, Baker Hughes Inc., an oilfield services company, reported. Land operations had the biggest loss, down 7 units, and inland waters activity decreased by 2 rigs. In what has become an unusual situation, offshore drilling registered the only increases, up by 3 rigs to a total of 33 rigs drilling in US waters.[4]

The euro fell against all but two of its 16 most-traded counterparts, reaching a six-week low against the dollar, on concern Greece may have to restructure its debt and the nation’s problems may spread in the region.[5]

QUOTE OF THE WEEK:

The strongest oak of the forest is not the one that is protected from the storm and hidden from the sun. It’s the one that stands in the open where it is compelled to struggle for its existence against the winds and rains and the scorching sun. – Napoleon Hill

RECIPE OF THE WEEK:

Garden Risotto

From: Better Homes and Gardens
Slow cooking, with stirring and watching, ensures success in producing the creamy results for this classic Italian side dish.

 

Servings: 4 side-dish servings

Total Time: 30 mins

Ingredients:

1 cup arborio rice or medium-grain white rice

2 tablespoons olive or cooking oil

2 cloves garlic, minced

3-1/4 to 3-1/2 cups reduced-sodium chicken broth or vegetable broth

1 cup shredded carrot

1/4 cup thinly sliced green onion

¼ to ½ cup shredded Parmesan or Romano cheese

2 tablespoons snipped fresh basil

Thin carrot curls (optional)

Basil leaves (optional)

Directions:

1. In a large saucepan cook and stir uncooked rice in hot oil over medium heat for 5 minutes. Add garlic; cook and stir 1 minute more.

2. Meanwhile, in a medium saucepan, bring broth to boiling; reduce heat and simmer.

3. Slowly add 1 cup of the broth to rice mixture (be careful of spattering, because broth will steam up when it hits the hot pan); stir constantly. Cook and stir over medium heat until broth is absorbed (about 5 minutes).

4. Add 2 more cups of broth, 1/2 cup at a time, stirring constantly until broth is absorbed. Stir in remaining broth, shredded carrot, and green onion. Cook and stir until rice is creamy and just tender. Stir in cheese and snipped basil.

5. If desired, garnish with the carrot curls and basil leaves. Makes 4 side-dish servings.

GOLF TIP OF THE WEEK:

Keep Your Emotions in Check

To get yourself back on track after a poor shot, ask yourself these four questions:

1)    How was my tempo or rhythm?

2)    Was I fully committed to the club, target, and type of shot?

3)    How well did I visualize the shot in advance?

4)    How did that shot “feel”?

By running through this checklist to determine the reason behind a bad shot, you’ll keep your tension level low and your emotions in check.

 

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

Insert your broker/dealer disclosures here. i.e. Securities offered through “Your B/D Name Here,” Member FINRA/SIPC.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[1]All information in this commentary is taken from: http://www.socialsecurity.gov/OACT/TR/2011/tr2011.pdf

[2] http://online.wsj.com/article/SB10001424052748703730804576313682030967852.html

[3] http://www.bls.gov/news.release/cpi.nr0.htm

[4] http://www.ogj.com/index/article-display/6817829475/articles/oil-gas-journal/drilling-production-2/drilling-operations/20100/may-2011/us-drilling_decreases.html

[5] http://www.bloomberg.com/news/2011-05-14/euro-drops-to-six-week-low-versus-dollar-before-ministers-meet-on-greece.html

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The 4 Pillars of Perpetual Portfolio Planning

A strategic approach to building financial security in any economy, during any economic cycle.

Click Here to Download!

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Weekly Commentary – May 9, 2011

THE MARKETS:

More jobs and more oil – two things we have to be thankful for. When Americans are gainfully employed, they spend more and the economy grows. When there’s extra oil supply, its value drops and gas prices usually follow.

The employment picture has been improving since the beginning of the year, with a total of 768,000 jobs added since January.  This momentum was carried through the month of April with the economy adding 244,000 jobs, the Labor Department reported Friday.[i] April was the strongest month for business hiring since February 2006, and the job gains were distributed across multiple business sectors. In fact, 73% of the nation’s industries have added jobs in the last six months alone. That’s the most broad-based job gain on record since 1998.[ii]

Last week finally gave us a break from the recent run-up in oil prices as crude tumbled 15% to its biggest weekly decline in more than two years.[iii] In just one week, light, sweet crude fell from a close of $113.93 to a close of $97.18 a barrel on the New York Mercantile Exchange.[iv] After nearing $114 a barrel as fears about supplies took hold following escalating violence in Libya, a close below $100 is more than welcome.

The 15% drop in oil prices revives hope that lower gas prices will follow. And while oil usually needs to hover in this price range for a couple weeks before gas prices will fall, some analysts are predicting that prices will drop to an average of $3.75 per gallon by Memorial Day, and $3.50 by mid-summer.[v] Some areas of the country have already seen a decrease in prices. Nigel Gault, chief economist for IHS Global Insight was quoted by USA Today as saying that “If this sticks, it’s worth about 20 cents off the price at the pump.”[vi]

These are two areas of the economy that we have been watching closely, and it is nice to see these positive trends. If things continue moving in this direction, it will probably have a positive impact on the American financial system.

ECONOMIC CALENDAR:
Tuesday – Import and Export Prices, Redbook
Wednesday – International Trade, Treasury Budget
Thursday – Producer Price Index, Retail Sales, Jobless Claims, Business Inventories
Friday – Consumer Price Index, Consumer Sentiment          
       

Data as of 05/06/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	-1.72	6.56	18.8	0.22	0.58
Dow	-1.34	9.17	20.1	1.83	1.54
NASDAQ	-1.60	6.58	21.9	4.14	2.90
MSCI EAFE	-2.93	5.81	26.0	-0.64	2.45
10-year Treasury Note (Yield Only)	3.30	N/A	3.40	5.11	5.18

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

News of Bin Laden’s death led U.S. stocks to trade higher on Monday morning, but the so-called “Bin Laden Rally” quickly fizzled after investors concluded his death does little to ease global economic and political risks.[vii]

G.M. Reported that their earnings tripled in the first quarter, as revenue jumped 15%. The company’s profit was more than triple what it achieved in the same period a year ago, and its fifth consecutive profitable quarter.[viii]

U.S. born radical Anwar al-Awlaki is expected to become Al Qaeda leader Bin Laden’s successor. It’s understood that he survived a U.S. drone attack on a car in Yemen on Thursday. U.S. born radical al-Awlaki is widely believed to be the mastermind behind a number of terror atrocities and the leader of Al Qaeda in the Arabian Peninsula.[ix]

Fannie Mae reported a net loss of $6.5 billion for the first quarter as a weakening housing market dashed hopes that the company had stabilized. Fannie said Friday it would ask the government for a fresh taxpayer infusion of $6.2 billion after paying dividends to the Treasury. The loss follows net income of $73 million during the previous quarter. [x]

Eurozone members are debating milder recovery terms for debt-hit Greece as it struggles to stick to a harsh austerity plan, Greek media said Saturday after emergency talks in Luxembourg. The reports said Finance Minister George Papaconstantinou had flown to a “secret” meeting among G20 eurozone states that debated giving Athens more time to repay a 110-billion-euro ($157 billion) EU-IMF loan and easier deficit reduction targets.[xi]

QUOTE OF THE WEEK:

“A mind that is stretched by a new experience can never go back to its old dimensions.” – Oliver Wendell Holmes, Jr.

RECIPE OF THE WEEK:

Coffee and Cookies Brownies

From: Better Homes and Gardens
Use refrigerated sugar cookie dough to create the crust for this simple coffee-flavored brownie dessert.

Ingredients:

1 16.5 to 18-oz pkg. refrigerated sugar cookie dough

2 eggs, lightly beaten

1 19.5 oz. pkg. milk chocolate brownie mix

1/2 cup cooking oil

1/3 cup coffee liqueur or cooled strong coffee

1 cup semisweet or bittersweet chocolate pieces

 Directions:

1. Preheat oven to 350 degrees F. Press sugar cookie dough into bottom of a 13x9x2-inch baking pan; set aside.

2. In a large bowl combine the eggs, brownie mix, cooking oil, and coffee liqueur until just combined. Spread batter over sugar cookie dough. Sprinkle with chocolate pieces.

3. Bake for 40 minutes or until edges are set. Cool in pan on a wire rack. To serve, cut into bars. Makes 24 brownies.

GOLF TIP OF THE WEEK:

Hooking problem? Maybe it’s your grip.

A hook occurs when the club face is closed in relation to your swing path, causing counterclockwise side spin and resulting in a hook to the left or right depending on whether you are left or right handed.

It could be that a simple repositioning of your hands on the club could help. When you hold your club, your non dominant hand should show the thumb and index knuckles. If you start seeing the back of your hand angling up, and/or you see the fingers of your dominant hand, your grip is too strong. To fix this, roll your hands forward towards the target so that the back of your hand faces the hole.

 

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

Investment advisory services offered through Calandra Wealth Management, LLC – A Registered Investment Advisor

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[i] http://www.bls.gov/news.release/pdf/empsit.pdf

[ii] http://money.cnn.com/2011/05/06/news/economy/april_jobs_report_unemployment/index.htm

[iii] http://www.marketwatch.com/story/oil-paring-some-losses-in-asian-trading-2011-05-05

[iv] http://www.marketwatch.com/story/oil-paring-some-losses-in-asian-trading-2011-05-05

[v] http://autos.aol.com/article/oil-prices-gas-prices-down/

[vi] http://www.usatoday.com/money/industries/energy/2011-05-06-average-gas-prices-peak-4_n.htm

[vii] http://www.reuters.com/article/2011/05/02/markets-global-idUSN0220536420110502

[viii] http://www.nytimes.com/2011/05/06/business/06motors.html

[ix] http://www.dailymail.co.uk/news/article-1384550/Man-tipped-bin-Ladens-successor-survived-U-S-drone-attack-Yemen.html

[x] http://online.wsj.com/article/SB10001424052748704810504576307551540613850.html

[xi] http://www.google.com/hostednews/afp/article/ALeqM5i0DDiSRNfU8-kVTjWZDX90zQsmOA?docId=CNG.a3c776d3b8de46644e7c5f74ac90dcfd.561

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Weekly Commentary – May 2, 2011

THE MARKETS:  

Stocks finished sharply higher last week, leading major indexes to their best month so far this year.[i] A strong earnings season coupled with increases in personal spending, personal income, and gradual improvement in the nation’s job picture helped the Dow finish 4.3% higher for the month.[ii]

Also last week, Fed Chairman Ben Bernanke held his first-ever press conference to answer reporters’ questions in a televised setting. A clear effort was made to reassure a skeptical public that the central bank is doing everything it can to control inflation and expand the recovery. “It is very hard to blame the American public for being impatient,” the Fed Chairman told about 60 reporters at Wednesday’s news conference. Citing high unemployment and rising gas prices, Bernanke acknowledged that, “Conditions are far from where we would like them to be.”[iii]

Commenting on the Fed’s commitment to help curb excessive inflation, the Fed Chairman added, “If inflation persists or inflation expectations begin to move, then there is no substitution for action. We would have to respond… I think every central banker understands that keeping inflation low and stable is absolutely essential to a successful economy. And we will do what is necessary to ensure that that happens.”[iv] At a time when food and gas prices are on the rise, these words were comforting for many Americans to hear. And while stating that the recovery has been merely “moderate”, Bernanke also stressed the Fed’s belief that it is “sustainable”.

In spite of Mr. Bernanke’s constructive tone, we must reasonably acknowledge that the economic picture is not entirely rosy. Government data released Thursday showed that U.S. GDP slowed in the first quarter to 1.8% from 3.1% in the previous quarter, reflecting a spike in gasoline, higher overall inflation, and continued weakness in the housing market.[v]

Much like a ship captain monitors his navigational instruments, we will continue to monitor both the policy makers and the economic indicators that help us navigate the vast sea of investment options. Commentaries like this are our way keeping you informed of the course we are charting.

ECONOMIC CALENDAR:
Tuesday – Redbook, New Home Sales
Wednesday – Durable Goods Orders
Thursday – GDP, Jobless Claims , Corporate Profits
Friday – Personal Income and Outlays, Consumer Sentiment

 

Data as of 04/29/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	1.96	8.43	13.0	0.81	0.88
Dow	2.44	10.7	14.7	2.54	1.85
NASDAQ	1.89	8.32	14.4	4.74	3.84
MSCI EAFE	2.24	9.00	16.3	0.58	2.76
10-year Treasury Note (Yield Only)	3.40	N/A	3.73	5.07	5.31

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

The death toll from this week’s storms rose to 343 Saturday, according to an NBC News count, making the tornado outbreak the second deadliest in U.S. history. Catastrophe risk modeling company EQECAT said that with initial reports of nearly 10,000 destroyed buildings, property insurance losses were expected to range from $2 to $5 Billion.[vi]

President Barack Obama used his weekly address to the nation to reiterate his call on Congress to stop granting tax subsidies to oil and gas companies. Despite recent signs of economic recovery, families across the country are experiencing “real pain” from soaring gas prices, Obama said.[vii]

Prince William and Kate Middleton have been pronounced husband and wife at Westminster Abbey in London. The Duke and Duchess of Cambridge, as they will now be known, made their vows in front of 1,900 guests and the eyes of the world.[viii]

The U.S. Federal Trade Commission is preparing an investigation of Google Inc.’s dominance of the Internet search industry by alerting high-tech companies to gather information for the probe, three people familiar with the matter said. The probe is examining whether Google discriminated against other services in search results and stopped websites from accepting rival ads.[ix]

Al Qaeda leader Osama bin Laden, a mastermind of the largest terrorist attack in American history, was killed Sunday in Pakistan in a military operation after the U.S. learned of his location.[x]

QUOTE OF THE WEEK:

Happiness is not something you postpone for the future; it is something you design for the present. – Jim Rohn

RECIPE OF THE WEEK:

Roasted Red Pepper and Artichoke Dip

From: Betty Crocker
Roasted red peppers add color to a one-dish dip requiring 10 minutes of prep time.

Ingredients:

1 jar marinated artichoke hearts, drained (6 to 7 ounces)

½ cup drained roasted red bell peppers (from 7-ounce jar)

1 package cream cheese, softened (3 ounces) find more recipes with this ingredient Philadelphia Cream Cheese Spread with Blueberry Fruit Spread 2 for $3.00
Cream Cheese Spread with Blueberry Fruit Spread
Assorted Varieties, 8-oz pkg. SAVE UP TO $1.58 ON 2
thru 2011-04-2

Publix

½ cup sour cream

¼ cup chopped fresh parsley

Assorted crackers or veggie crisps

Directions:

1. In food processor, place artichoke hearts and bell peppers. Cover and process until coarsely chopped. Add cream cheese, sour cream and parsley. Cover and process just until blended.

2. Garnish dip with additional chopped fresh parsley if desired. Serve with crackers.

GOLF TIP OF THE WEEK:

What’s In Your Bag?

What is the best set makeup for an average player? Assuming that you’re going to adhere to the 14-club limit, you’ll want to assemble a set with which you use all the clubs and have no distance gaps. To show how to pick the set that suits you best, here is an average list of clubs and yardages. These yardages may not apply to your game, but you should be able to apply the same principle.

Woods:
Driver – 200 yards
3-Wood – 190 yards
5-Wood -180 yards
7-Wood – 170 yards
9-Wood – 160 yards
11-Wood – 150 yards
13-Wood – 140 yards
15-Wood – 130 yards

Irons:
2-Iron – 190 yards
3-Iron – 180 yards
4-Iron – 170 yards
5-Iron – 160 yards
6-Iron – 150 yards
7-Iron – 140 yards
8-Iron – 130 yards
9-iron – 120 yards
P. W. – 110 yards
S. W. – 90 yards

The idea is to pick a set that gives you a consistent distance spread from club to club. If you do not hit your 3 and 4 irons well, then take them out of your bag and replace them with a 5 and 7 wood. This will at least close any distance gaps created because of the unused clubs. As you can see, there is an overlap between the woods and irons all the way from 130 to 190 yards. If you’re not comfortable hitting a certain iron, simply replace it with the corresponding wood, and vice versa.

 

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

Insert your broker/dealer disclosures here. i.e. Securities offered through “Your B/D Name Here,” Member FINRA/SIPC.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[i] http://money.cnn.com/2011/04/29/markets/markets_newyork/index.htm

[ii] http://money.cnn.com/2011/04/29/markets/markets_newyork/index.htm

[iii] http://transcripts.cnn.com/TRANSCRIPTS/1104/27/qmb.01.html

[iv] http://transcripts.cnn.com/TRANSCRIPTS/1104/27/qmb.01.html

[v] http://money.cnn.com/2011/04/28/news/economy/1q_gdp_report/index.htm?iid=EL

[vi] http://www.msnbc.msn.com/id/42834400/ns/weather/

[vii] http://www.politico.com/news/stories/0411/53977.html

[viii] http://www.guardian.co.uk/uk/2011/apr/29/royal-wedding-newlyweds-afternoon-celebration?intcmp=239

[ix] http://www.bloomberg.com/news/2011-04-29/google-said-to-be-subject-of-ftc-probe-into-web-search-industry-dominance.html

[x] http://blogs.wsj.com/wsjam/2011/05/02/osama-bin-laden-is-dead/

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Investing in Times of Global Uncertainty – FREE Whitepaper

In times of global uncertainty, making prudent investment decisions requires special diligence. When natural disasters strike and leading nations become embroiled in conflict, it can be difficult to find clarity amidst the barrage of disquieting headlines. This paper is designed to help you find that clarity, and hopefully, sleep better at night. Please click on the link below for immediate access.

Click Here for your FREE Whitepaper!

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Weekly Market Commentary – April 18, 2011

Weekly Market Update
Week of April 18, 2011

THE MARKETS:

In spite of a rocky start to earnings season, promising economic news helped reassure investors this week. Stocks even managed to post modest gains on Friday in response to the hopeful signs.

Aside from food and gas prices, the Labor Department reported that consumer prices rose just 0.1% in March, lower than the predicted 0.2%.[i] With prices inflating slower than expected, Americans got a break. And in today’s economy, consumers need every break they can get. When prices are lower, people tend to feel better and spend more – good news since consumer spending accounts for about 70% of the total U.S. economy.[ii]

Signs show that Americans are also feeling more optimistic. The U.S. consumer sentiment index rose from 67.5 in March to 69.6 in April, beating expectations.[iii] This increase could be partially attributed to the addition of jobs for six straight months and an unemployment rate sitting at a two-year low.[iv] These positive numbers indicate job gains are helping Americans manage rising fuel costs and maintain a positive outlook.[v]

Industrial production increased for the ninth straight month in a row, rising 0.8% in March, and factory production increased 9.1% in the first quarter.[vi] Total industrial production was 5.9% above its year-earlier level.[vii] These numbers are all higher than forecast last month, and are a good sign that factories will keep driving the U.S. economy.[viii]

These indicators show that prices are down, optimism is up, and factories are producing at higher levels than last year; all signs that our economy is still making progress. Earnings season will kick into high gear this week as Wall Street gets quarterly results from 110 members of the S&P 500, giving us a broad view of how Corporate America is doing.

ECONOMIC CALENDAR:                                                                                                Monday – Housing Market Index                                                                                                         Tuesday – Housing Starts, Redbook                                                                                  Wednesday – Existing Home Sales, EIA Petroleum Status Report
Thursday – Jobless Claims, Philadelphia Fed Survey, Leading Indicators                                          Friday – U.S. Market Holiday: Good Friday Observed       

Data as of 04/15/2011	1-Week	YTD	1-Year	5-Year	10-Year
Standard & Poor’s 500	-0.36	4.93	10.7	0.19	0.66
Dow	-0.32	6.60	12.0	1.90	1.63
NASDAQ	-0.25	4.21	11.4	3.47	3.30
MSCI EAFE	-0.34	4.69	8.47	0.12	2.65
10-year Treasury Note (Yield Only)	3.57	N/A	3.77	4.97	5.12

Notes: All index returns exclude reinvested dividends, and the 5-year and 10-year returns are annualized.
Sources: Yahoo! Finance, MSCI Barra. Past performance is no guarantee of future results.
Indices are unmanaged and cannot be invested into directly. NA means not available.

HEADLINES:

Congress sent President Barack Obama legislation cutting a record $38 billion from federal spending on Thursday.  This measure will finance the government through the September 30^th end of the budget year.[ix]

Bank of America’s first-quarter income fell 39% on higher costs related to its mortgage business and litigation. The bank also settled a claim over faulty mortgage investments and set aside less money to cover bad loans. The earnings fell short of the 28 cents a share estimated by analysts surveyed by FactSet and revenue fell to $26.9 billion from $32 billion in the same period last year.[x]

The first settlement with the Securities and Exchange Commission (SEC) could be reached as soon as next week.  The securities regulator is in talks with major Wall Street banks to settle fraud allegations relating to the sale of toxic mortgage bonds to various investors that helped unleash the financial crisis.[xi]

QUOTE OF THE WEEK:

It is hard to fail, but it is worse never to have tried to succeed. – Theodore Roosevelt

RECIPE OF THE WEEK:

Goat Cheese Pastry Rounds

From: Better Homes and Gardens

Ingredients:

1/2 of a 17.3-ounce package frozen puff pastry (1 sheet), thawed

Tomato preserves or favorite fruit preserves* (about 3 tablespoons)

3 2- to 2-1/2-inch diameter rounds goat cheese (3 to 4 oz. each)

1 egg, beaten

Fresh figs or grapes (optional)

Directions:

1. Preheat oven to 400 degree F. Line a baking sheet with foil; grease foil. Set aside.

2. Unfold pastry on a lightly floured surface; roll into a 12-inch square. Cut pastry into four 6-inch squares. Place 1 tablespoon preserves in center of 3 of the pastry squares. Place goat cheese atop preserves. Bring edges of pastry up and over cheese rounds, pleating and pinching edges to cover. Sea; trim excess pastry. Invert and place on prepared baking sheet, smooth side up. Brush pastry with egg. Cut small slits in pastry for steam to escape. Cut remaining pastry square into decorative leaves; place atop brushed pastry and brush with additional egg.

3. Bake for 20 to 22 minutes or until pastry is golden brown. Let stand 15 to 20 minutes before serving. If desired, serve with fresh figs. Makes 12 servings.

GOLF TIP OF THE WEEK:

What the Perfect Swing Looks Like
By Michael Lopuszynski

The Problem:
You’re hitting too many slices and your swing just never feels right. 

The Solution:
Most of us are taught to swing down the target line, which actually causes your arms to fly away from your body. The result is inconsistent contact and a swing you can’t repeat. The only time your clubface should point down the target line is when you contact the ball. The swing path should start inside and intersect the target line only just before impact and then start back inside right after impact. This circular swing keeps your body and arms connected, which helps you strike the ball with power.

Try This:
On the range, stop your arms at impact and allow your body rotation to bring the club back inside on your follow-through. This will ingrain the proper clubhead path after impact.

 

Share the Wealth of Knowledge!
Please share this market update with family, friends, or colleagues.  If you would like us to add them to our list, simply click on the “Forward email” link below. We love being introduced!

Insert your broker/dealer disclosures here. i.e. Securities offered through “Your B/D Name Here,” Member FINRA/SIPC.

Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values.

The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general.

The Dow Jones Industrial Average is a price-weighted average of 30 significant stocks traded on the New York Stock Exchange and the Nasdaq. The DJIA was invented by Charles Dow back in 1896.

The MSCI EAFE Index was created by Morgan Stanley Capital International (MSCI) that serves as a benchmark of the performance in major international equity markets as represented by 21 major MSCI indexes from Europe, Australia and Southeast Asia.

The 10-year Treasury Note represents debt owed by the United States Treasury to the public. Since the U.S. Government is seen as a risk-free borrower, investors use the 10-year Treasury Note as a benchmark for the long-term bond market.

Google Finance is the source for any reference to the performance of an index between two specific periods.

Opinions expressed are subject to change without notice and are not intended as investment advice or to predict future performance.

Past performance does not guarantee future results.

You cannot invest directly in an index.

Consult your financial professional before making any investment decision.

Fixed income investments are subject to various risks including changes in interest rates, credit quality, inflation risk, market valuations, prepayments, corporate events, tax ramifications and other factors.

These are the views of Platinum Advisor Marketing Strategies, LLC, and not necessarily those of the named representative or named Broker dealer, and should not be construed as investment advice. Neither the named representative nor the named Broker dealer gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your financial advisor for further information.

By clicking on these links, you will leave our server as they are located on another server. We have not independently verified the information available through this link. The link is provided to you as a matter of interest. Please click on the links below to leave and proceed to the selected site.

---

[i] http://www.msnbc.msn.com/id/42605261/ns/business-eye_on_the_economy/

[ii] http://www.bloomberg.com/news/2011-04-15/consumer-sentiment-in-u-s-rises-more-than-forecast-in-third-monthly-gain.html

[iii] http://money.cnn.com/2011/04/15/markets/markets_newyork/index.htm

[iv] http://money.cnn.com/2011/04/15/markets/markets_newyork/index.htm

[v] http://www.bloomberg.com/news/2011-04-15/consumer-sentiment-in-u-s-rises-more-than-forecast-in-third-monthly-gain.html

[vi] http://www.msnbc.msn.com/id/42605261/ns/business-eye_on_the_economy/

[vii] http://www.bloomberg.com/news/2011-04-15/u-s-march-industrial-production-and-capacity-report-text-.html

[viii] http://www.bloomberg.com/news/2011-04-15/u-s-industrial-production-increased-0-8-in-march-fed-says.html

[ix] http://www.msnbc.msn.com/id/42587459/ns/politics-capitol_hill/

[x] http://www.msnbc.msn.com/id/42607719/ns/business-eye_on_the_economy/

[xi] http://www.msnbc.msn.com/id/42605827/ns/business-eye_on_the_economy/

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