Market Commentary Highlights...

The year 2010 is ending on a high note for investors. The economy has shown signs of reaccelerating from the summer soft spot, the S&P 500 has made new two-year highs, and the President signed into law an extension of all of the tax cuts.

Investor confidence is also on a high note. Investors are now the most bullish they have been since 2004. History tells us that when there are too many bulls the market may be due for a pullback.

Recent years have seen extremes one way or the other. We see a “middle-of-the-road” 2011
that offers investors modest single-digit gains for stocks, low- to mid-single-digit gains for
bonds, and an economy in the United States that muddles along at a 2.5 to 3% pace.

Read the entire Market Commentary. (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of December 28, 2010. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. This commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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This information is being provided by Lincoln Savings Bank (LSB) / LSB Financial, an Iowa-based institution devoted to providing complete financial services since 1902. www.mylsb.com