Lincoln Savings Bank | LSB Financial

January May Seem “Super,” but Don’t Be Bowled Over

2012-02-01T14:41:00.000-06:00

Market Commentary Highlights...

The upcoming Super Bowl will test the stock market’s historical correlations with the calendar and events that proved rewarding to investors in 2011.

Investors’ New Year’s resolution may have been to buy stocks after five years of selling nearly every month. However, we are afraid this may turn out to be like most resolutions and fade come February.

We expect volatility to return and the stock market to shed some recent gains. But we adhere to our outlook for 8 – 12%* gains for the year for stocks.

View the entire Market Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of January 30, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Lincoln Savings Bank and LSB Financial are not registered broker/dealers, nor are they affiliated with LPL Financial. This site is designed for U.S. residents only. The services offered within this site are available exclusively through our U.S. Investment Representatives. LPL Financials U.S. Investment Representatives may only conduct business with residents of the states for which they are properly registered. Please note that not all of the investments and services mentioned are available in every state.

Unintended Consequences of Low Rates

2012-02-01T14:36:00.000-06:00

Economic Commentary Highlights...

Lower rates have hurt consumer incomes and consumer spending.

However, companies’ increased dividend payments to consumers have provided a slight offset.

Lower consumer energy prices have put more spending power in consumer wallets.

View the entire economic commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of January 30, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

State of the Union Preview

2012-01-26T09:34:00.001-06:00

Market Commentary Highlights...

President Obama’s State of the Union (SOTU), scheduled for Tuesday, January 24, is unlikely to be a big market mover.

In fact, most SOTU speeches see less than a 1% move in the stock market on the following day.

However, the themes and philosophy presented may shape the market’s movements in the months to come with implications for Financial and Industrial companies and oil prices.

View the entire Market Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of January 23, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Ch – Ch – Ch – Changes…Time to Focus on the Fed’s Forecasts

2012-01-26T09:31:00.000-06:00

Economic Commentary Highlights...

Plenty of changes likely to the FOMC statement, but policy still on hold.

The changing composition of the FOMC’s voting members will receive a great deal of media attention, but is not likely to alter policy in 2012.

View the entire economic commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of January 23, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2012-01-20T10:19:00.000-06:00

Over the past week, the LPL Financial Current Conditions Index remained rose to 248. The highest reading since January of last year. Supporting what is likely to be an above average growth rate for fourth quarter GDP when reported. The path of the CCI remains consistent with continued economic
growth in the United States.

The growth momentum in the index has picked up lately with the 13 week change in the index turning positive and the 52 week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of January 18, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

The LPL Financial Research Current Conditions Index is a weekly measure of the conditions that underpin our outlook for the markets and economy. The CCI provides real-time context and insight into the trends that shape our recommended actions to manage portfolios. This index has proven to be a useful tool for investment decision making.

This weekly index is not intended to be a leading index or predictive of where conditions are headed, but a coincident measure of where they are right now. We want to track the conditions in real-time to aid in investment decision making. There are thousands of indicators-some lead the economy, some lag, while others merely offer a lot of statistical noise. We chose to create our own index tailored to the current environment to provide the clearest and most useful way to track conditions. The components of the CCI are periodically changed to retune the index to those factors most critical to the markets and economy so it may continue to be a valuable investment decision-making tool.

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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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. http://www.mylsb.com/default.aspx

Not So Cloudy

2012-01-18T15:42:00.000-06:00

Economic Commentary Highlights...

The Federal Reserve’s latest Beige Book helped confirm that the U.S. economy picked up steam as 2011 ended and 2012 began.

The latest Beige Book also showed considerable improvement versus the November Beige Book, and both have improved drastically versus 2009, despite the financial media’s instance that “this is just like 2008/2009.”

View the entire economic commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of January 17, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

European Upgrade

2012-01-18T15:39:00.000-06:00

Market Commentary Highlights...

S&P’s downgrade overshadowed meaningful developments over the past two weeks in Europe which we would call an upgrade in dealing with the debt problems.

The events of the past week show that the rating change at S&P, while warranted, is a lagging indicator of a situation that has been something less than AA-rated for a long time, but has been improving in recent months with more progress made in the past two weeks.

While we have become more positive about the path Europe is taking, these efforts virtually assure a mild recession for Europe in 2012, and reinforce our belief that better investment opportunities lie in the United States and Emerging Markets.

View the entire Market Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of January 17, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2012-01-12T11:30:00.000-06:00

Over the past week, the LPL Financial Current Conditions Index remained relatively unchanged at 241. Near the highest reading since January of last year. Supporting what is likely to be an above average growth rate for fourth quarter gross domestic product (GDP) when reported. The path of the CCI remains consistent with continued economic growth in the United States.

The growth momentum in the index has picked up lately with the 13-week change in the index turning positive and the 52-week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of January 11, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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What Investors Should be Watching This Earnings Season

2012-01-12T11:27:00.000-06:00

Market Commentary Highlights...

This week is the start of the fourth quarter 2011 earnings reporting season with big, well-known companies like Alcoa and JPMorgan Chase due to report fourth quarter results.

This is the first quarter in over two years that S&P 500 profit growth is not expected to be in the double-digits.

During this earnings season we are paying special attention to revenues and how companies are putting cash to work either by spending or by returning it to shareholders.

View the entire Market Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of January 9, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Does Economic Momentum Exist?

2012-01-12T11:22:00.000-06:00

Economic Commentary Highlights...

Episodes of “economic momentum” have been rare in the past 20 years.

Recent evidence points to modest momentum in the U.S. economy as 2011 turned into 2012.

Another round of economic speed bumps could temper hard-won momentum.

View the entire economic commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of January 9, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2012-01-05T13:06:00.000-06:00

Over the past week, the LPL Financial Current Conditions Index rose to247. This is the highest reading since January of last year. Supporting what is likely to be an above average growth rate for fourth quarter GDP when reported. The path of the CCI remains consistent with continued economic growth in the United States.

The growth momentum in the index has picked up lately with the 13-week change in the Index turning positive and the 52-week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of January 4, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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Hitting the Ground Running

2012-01-05T13:02:00.000-06:00

Economic Commentary Highlights...

Financial markets have a full plate of economic and policy events to digest as they return from the year-end holidays.

The FOMC minutes may provide some hints as to the Fed’s communications strategy.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of January 3, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Stock Market’s Flat 2011, May Suggest Booming 2012

2012-01-05T12:58:00.000-06:00

Market Commentary Highlights...

During the last trading day of 2011, volatility drove the S&P 500 down in the final seconds to leave the Index unchanged from where it started the year and the total return at a mere 2%.

There have been four years since WWII when the total return for the S&P 500 was roughly flat. All three of these years that preceded 2011 were followed by strong gains in the following year, averaging 38%.

While the historical pattern suggests that a strong 2012 may follow a flat 2011, our outlook remains for an average gain of about 8 – 12% in 2011.

View the entire Market Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of January 3, 2012. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

LSB Paid $174,448 CASH BACK for 2011!

2012-01-03T16:00:00.002-06:00

Happy New Year! The New Year brings many things to Lincoln Savings Bank (LSB) customers: New Year’s resolutions, cold weather, caucuses and CASH BACK rewards! Paying back over $174,448, LSB had our best year ever for CASH BACK rewards! LSB customers will see their CASH BACK rewards for the year 2011 deposited to their LSB checking accounts on January 3, 2012. So, if you are an LSB customer and active debit card user (selecting the CREDIT option for your purchases), look for your CASH BACK reward on your next bank statement (or check your online banking account).

Why does LSB pay CASH BACK? LSB encourages electronic forms of banking, like using a debit card rather than writing checks for purchases. Since we, like all other banks and credit unions, earn “interchange fees” from the various card networks when our customers use debit cards to make purchases, LSB shares back a portion of that fee to our valued customers. So, LSB customers who use their debit cards as CREDIT transactions for their purchases, earn up to 1%* CASH BACK! The CASH BACK reward is deposited into our customer’s checking account after the end of the year.

Are you CASHING IN? If you aren’t earning CASH BACK, it’s easy to get started! Just open an LSB Checking Account, and start using your LSB debit card to make every day purchases like gas and groceries. You can open an LSB account online in just minutes, or visit your local LSB branch. If you already have an LSB account and want to make sure you maximize your 2012 reward, visit www.mylsb.com/CashBack for tips on how to earn CASH BACK from LSB.

Your friends at LSB wish you a prosperous 2012!

Member FDIC

*Cash back: Your account will be credited back a portion of your purchases each year (Jan. 1 to Dec. 31). Only signature-based Visa authorized purchases will qualify for credit. ATM transactions and purchases made with a PIN do not qualify.
- The first $4,999.99 will earn 0.25%
- $5000 - $9,999.99 will earn 0.50%
- $10,000 and over will earn 1.00%

Current Conditions Index

2011-12-29T12:22:00.000-06:00

Over the past week, the LPL Financial Current Conditions Index rose to 230. The path of the CCI remains consistent with continued economic growth in the United States.

The growth momentum in the index has picked up lately with the 13-week change in the Index turning positive and the 52-week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of December 28, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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Current Conditions Index

2011-12-23T14:25:00.000-06:00

Over the past week, the LPL Financial Current Conditions Index rose to 222. The path of the CCI remains consistent with continued economic growth in the United States.

The growth momentum in the index has picked up lately with the 13-week change in the Index turning positive and the 52-week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of December 21, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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Bucking the Trend

2011-12-21T16:10:00.000-06:00

Economic Commentary Highlights...

Housing, manufacturing and the consumer dominate this week’s economic data in the United States as the
economy accelerates into year-end.

The struggling state and local government sector is likely to struggle in 2012.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of December 19, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Apocalypse Soon

2011-12-21T16:04:00.002-06:00

Market Commentary Highlights...

The purported end of the world falls exactly one year from this Wednesday, December 21, 2011. Like a primeval Y2K event, 2012-ers believe that one year from now the earth will experience a catastrophe or an enlightenment.
Surprisingly, we agree. The year 2012 will be one of transformation: politically, fiscally, and economically, with profound impacts for investors.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of December 19, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Reinvest in Your Community by Banking at Lincoln Savings Bank

2011-12-15T09:34:00.000-06:00

As many of the nation’s consumers consider switching banks, LSB wants to remind you that now is the perfect time to join the “go local” movement by switching your banking relationship to LSB. By doing so, you will realize the litany of benefits that come with banking at a community bank, including a relationship-based banking experience, superior customer service and the pride that comes with reinvesting in your own community.

LSB only thrives when our customers and communities do the same, so taking care of our customers and looking out for the best interest of our community is ingrained in the way we do business. When customers call LSB they’re reassured to know that they won’t be talking to someone halfway across the globe. Instead, they will be talking with an LSB employee who lives and works in the same community they do.

We know there are a number of choices to choose from when it comes to community banks, so why not go with the best. According to the latest FDIC Deposit Market Share Report Lincoln Savings Bank is the #1 Community Bank in the Cedar Valley. When you bank with LSB you are helping to drive our local economies and create local jobs. You can also be sure that your money is staying in the community helping families purchase homes, buy cars, finance college and build financial security. Start reinvesting in your community by banking locally with Lincoln Savings Bank.

Member FDIC.

Current Conditions Index

2011-12-08T12:12:00.001-06:00

Over the past week, the LPL Financial Current Conditions Index remained relatively unchanged at 202. The path of the CCI remains consistent with continued economic growth in the United States.

The growth momentum in the index has picked up lately with the 13-week change in the Index turning positive and the 52-week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of December 7, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

The LPL Financial Research Current Conditions Index is a weekly measure of the conditions that underpin our outlook for the markets and economy. The CCI provides real-time context and insight into the trends that shape our recommended actions to manage portfolios. This index has proven to be a useful tool for investment decision making.

This weekly index is not intended to be a leading index or predictive of where conditions are headed, but a coincident measure of where they are right now. We want to track the conditions in real-time to aid in investment decision making. There are thousands of indicators-some lead the economy, some lag, while others merely offer a lot of statistical noise. We chose to create our own index tailored to the current environment to provide the clearest and most useful way to track conditions. The components of the CCI are periodically changed to retune the index to those factors most critical to the markets and economy so it may continue to be a valuable investment decision-making tool.
Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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The Labor Market Continues Its Long Climb Back

2011-12-07T13:43:00.001-06:00

Economic Commentary Highlights...

Our outlook for the U.S. economy in 2012 is below both the consensus and the Fed’s forecast, but above that being priced in by the market and generally discussed in the financial media.

The November employment report was another step on the long road back for the still-struggling labor market.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of December 5, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

A European Christmas Carol

2011-12-07T13:40:00.001-06:00

Market Commentary Highlights...

Europe’s leaders have seen the ghost of Christmas Past (2008), Present (Greece, etc.) and Yet to Come (break up).
Their pursuit of Scrooge-like austerity measures may allow the leaders of Germany and France to see the light and let the ECB buy the turkey (troubled debt) in the window for the troubled countries (Spain, Italy, etc.).
If not, it will scare the Dickens out of the market.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of December 5, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

A November To Remember for the Economy?

2011-11-30T16:19:00.001-06:00

Economic Commentary Highlights...

How is the euro-zone fiscal mess impacting the U.S. economy?

A full slate of economic data this week may show that the U.S. economy is doing just fine, despite the turmoil in the eurozone.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of November 28, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Black Friday Caps a Dark Week for Investors

2011-11-30T16:16:00.001-06:00

Market Commentary Highlights...

It was a black Friday for investors as the holiday week closed with the S&P 500 turning in its worst performance during the week of Thanksgiving since 1932.

Fear gripped the market that the risk of a default by a major European government that would trigger a financial crisis was rising.

It is likely to take years to resolve the debt problems in Europe; however as with the lingering U.S. subprime mortgage debt and housing problems, merely stabilizing the problem may allow markets and the economy to heal from the damage.

As progress in managing risks and efforts toward fiscal sustainability meets with setbacks and disruptions, expect continued market volatility — but not all of it to the downside as in the past seven trading days.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of November 28, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2011-11-28T10:19:00.002-06:00

Over the past week, the LPL Financial Current Conditions Index fell slightly to 205. The path of the CCI remains consistent with continued economic growth in the United States.

The growth momentum in the index has picked up lately with the 13-week change in the index turning positive and the 52-week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of November 23, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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Super Committee: Go Big or Go Home?

2011-11-23T15:04:00.001-06:00

Market Commentary Highlights...

With no debt ceiling, default or downgrade threat, the market impact of this week’s public unveiling of the super committee’s recommendations is likely to be muted relative to the debt ceiling debacle of late July and early August.

Congress’ record-low 9% approval rating reflects the low bar of expectations for the super committee. The market expects the default cuts of $1.2 trillion will do the bulk of generating the required savings.

Even with no agreement from the super committee, an end-of-year deal may still take place that may pair a smaller deficit reduction package of a few hundred billion dollars with the extension of the expiring payroll tax cut and federal unemployment benefits.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of November 21, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Leading The Way

2011-11-23T14:49:00.002-06:00

Economic Commentary Highlights...

Europe, a full slate of economic data, the super committee’s failure and the run-up to Black Friday will drive markets this week.

The index of leading economic indicators suggests that the chance of recession in the next 12 months is low.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of November 21, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2011-11-17T14:41:00.003-06:00

Over the past week, the LPL Financial Current Conditions Index rose slightly to 208. The path of the CCI remains consistent with continued economic growth in the United States.
The growth momentum in the Index has picked up lately with the 13 week change in the Index turning positive and the 52 week change moderating it’s contraction.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of November 16, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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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

Moving to the Muddle

2011-11-17T14:41:00.000-06:00

Economic Commentary Highlights...

European developments and a full slate of U.S. economic data will vie for the market’s attention this week.

Manufacturing, housing, inflation and the consumer are in the data spotlight this week.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of November 14, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

The Best Year-End Strategy May be to Invest by the Book

2011-11-17T14:30:00.003-06:00

Market Commentary Highlights...

All of the time-worn stock market trading axioms based on the calendar actually were worth following this year, including the “January effect”, “sell in May and go away” and October the “bear killer” month.

This textbook pattern of calendar-driven performance by the stock market may mean that the best year-end strategy is to invest by the book as a “Santa Claus rally” unfolds in December.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of November 14, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Secure Online Banking

2011-11-09T09:14:00.002-06:00

Lincoln Savings Bank (LSB) takes the privacy and security of our customer data very seriously. With our recent online banking upgrade, we wanted to take this opportunity to remind you of the importance of protecting your personal information when using online banking. Federal financial regulators report that there has been an increase in the amount of cyber-criminals posing as financial institutions to target customers.

Here are a few steps you can take to help ensure the security of your online transactions.

Remember that LSB will never e-mail, call or otherwise ask you for your online banking password or other electronic banking credentials. We may request your Login ID if you contact us for an online banking support request, though.

Create a unique Login ID and Password using upper and lower case letters and also numbers. If you still use a “709” number for your Login ID, we encourage you to change that to something different. You can change that within online banking by clicking “Security” under the Preferences menu. You can also call us at 800-588-7551 to update your Login ID.

Periodically change your password.

Use a firewall and anti-virus software on your personal computer.

Logout when you have finished your transactions. Do not just close the page.

Since commercial accounts are often targeted by thieves, LSB recommends each business take extra precaution and conduct their own risk assessment for online banking. We also recommend that businesses implement internal controls for any employees that have access to the business’ online banking accounts. These controls may include; password requirements, background checks, employee termination procedures, internal audits by a 3^rd party, etc…

The most important thing is that you contact us immediately if you feel as if your personal information has been compromised or if you discover any incorrect transactions on your account.

Trick or Treat

2011-11-01T14:50:00.002-05:00

Market Commentary Highlights...

Investors were treated to powerful gains last week as European policymakers crafted a deal to avoid a 2008-like financial crisis and economic and profit reports in the United States reflected solid growth.

We believe last week’s European rescue deal is more treat than trick, but the devil is in the details. Over the long-term, concerns remain about the tricky outlook for economic growth in Europe and the ability of some peripheral countries to meet budget targets.

While the stock market is likely to hang on to the powerful gains made in October, there are still a few of scares coming in November that may spook the markets and reintroduce some familiar volatility.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of October 31, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

What a Surprise

2011-11-01T14:47:00.002-05:00

Economic Commentary Highlights...

This week is an extraordinarily busy one for economic data and policy events.

How much longer can the economic data continue to surprise?

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of October 31, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2011-11-01T10:24:00.002-05:00

Over the past week, the LPL Financial Current Conditions Index declined slightly to 199. The path of the CCI remains consistent with continued economic growth in the United States.
The growth momentum in the Index remains negative. Both the 13- and 52-week change has turned consistently negative as growth momentum has stalled.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of October 26, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

The LPL Financial Research Current Conditions Index is a weekly measure of the conditions that underpin our outlook for the markets and economy. The CCI provides real-time context and insight into the trends that shape our recommended actions to manage portfolios. This index has proven to be a useful tool for investment decision making.

This weekly index is not intended to be a leading index or predictive of where conditions are headed, but a coincident measure of where they are right now. We want to track the conditions in real-time to aid in investment decision making. There are thousands of indicators-some lead the economy, some lag, while others merely offer a lot of statistical noise. We chose to create our own index tailored to the current environment to provide the clearest and most useful way to track conditions. The components of the CCI are periodically changed to retune the index to those factors most critical to the markets and economy so it may continue to be a valuable investment decision-making tool.
Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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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

The Greek Haircut

2011-11-01T10:20:00.003-05:00

Market Commentary Highlights...

Despite all the headlines, yields for Italy, Spain, Portugal and Ireland’s sovereign debt
are at or below where they were in mid- July when the second rescue package for Greece was drafted.

While the second Greek rescue stemmed the decline in the sovereign bond market, as intended, stocks have plunged since then as investors increasingly priced in a greater “haircut” the banks may have to take on their Greek bond holdings.

The stock market’s rise, despite no resolution on the terms of the comprehensive rescue package, appears tied in part to the increased clarity around limiting the amount of the haircut, lowering the odds of further bank failures and a 2008-style financial crisis.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of October 24, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Economic Uncertainty Remains in Place

2011-11-01T10:16:00.002-05:00

Economic Commentary Highlights...

A busy week for economic data in the United States, highlighted by the third quarter GDP report which is likely to be the strongest of the year.

Uncertainty continues to dominate the economic landscape.

A closer look at the labor market and initial claims for unemployment insurance reveals a labor market stuck in neutral

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of October 24, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

A More Durable Rally

2011-10-20T12:21:00.003-05:00

Market Commentary Highlights...

There are several reasons why this stock market rally may be more durable than those that preceded it in recent months.

It is possible that the substantial developments in Europe are taking the fear of a repeat of the financial crisis of 2008 off the table and solid economic data in the United States is taking the fear of a double dip recession off the table.

Other signs that this rally may be more durable include: global cyclical sector leadership, declining European “TED spread”, and the rising yield on the 10-year Treasury note.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of October 17, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Hard Data Versus Soft Sentiment: The Sequel

2011-10-20T12:19:00.002-05:00

Economic Commentary Highlights...

A busy week for financial market participants lies ahead, with Europe and corporate earnings data competing with economic and policy events.

The tug of war between the soft readings on sentiment-based data and the solid readings on the hard data continues this week.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of October 17, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2011-10-20T12:14:00.003-05:00

Over the past week, the LPL Financial Current Conditions Index rebounded to 205. The path of the weekly CCI is also tracked and confirmed by the path in the year-over-year change in the monthly index of Leading Economic Indicators, which is also composed of 10 components, produced by the Conference Board.
The growth momentum in the Index remains negative. Both the 13- and 52-week change has turned consistently negative as growth momentum has stalled.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of October 19, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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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

Earnings Season: What to Watch

2011-10-11T11:55:00.002-05:00

Market Commentary Highlights...

While macroeconomic factors are likely to remain key drivers of the market this week,
microeconomics will also garner investors’ attention as companies begin to release their third quarter earnings reports.

Market participants have priced declines in earnings into stock market valuations.
Yet, analysts have high, double-digit growth expectations for earnings as profits reach a
new record high for the first time since the Great Recession.

During this earnings season we are paying special attention to sales growth, exposure to Europe, and how companies are putting cash to work (or not) and the impact on the outlook for coming quarters.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of October 10, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

The Next Two Million Jobs: An Update

2011-10-11T11:51:00.002-05:00

Economic Commentary Highlights...

The focus this week is likely to be on corporate and Chinese data, rather than U.S. economic data.

The economy is tracking to our bear case for creating the next two million jobs.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of October 10, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Costs and Benefits

2011-09-22T09:40:00.002-05:00

Economic Commentary Highlights...

Policy at home and abroad, both fiscal and monetary, is likely to dominate this week.

The Federal Reserve (Fed) debates the costs and benefits of more monetary policy action at this week’s FOMC meeting.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of September 22, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

The 2012 Election is Very Consequential for Investors

2011-09-22T09:36:00.004-05:00

Market Commentary Highlights...

As September draws to a close, we are ending what has traditionally been the best four-quarter period for stocks during the four-year Presidential cycle.

Since World War II, the stock market has always posted a double-digit gain from the end of the third quarter of year two to the end of the third quarter of year three of the Presidential cycle. To retain that spotless track record the S&P 500 would need to post a gain of 3.5% in the next two weeks.

As we look out to next year’s elections, the party that gains control will forge the decisions
that will represent one of the biggest shifts in the federal budget policy since WWII with profound impacts for investors.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of September 22, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found here.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Over-the-Counter Sales of Paper Savings Bonds Ending in 2012

2011-09-14T14:37:00.003-05:00

The U.S. Department of the Treasury will end over-the-counter sales of paper savings bonds on December 31, 2011, including sales through financial institutions and applications mailed directly to the Federal Reserve Bank by customers. This move is expected to save taxpayers an estimated $70 million over the next five years.

Although paper bonds are being discontinued, electronic Series EE and Series I Savings Bonds will remain available for purchase via TreasuryDirect. This secure, web-based system, operated by the Bureau of the Public Debt, has been used by investors since 2002 to purchase savings bonds online.

As a trusted resource for savings bond buyers, feel free to bring any questions you may have to us and we will try our best to get them answered. Customers can still purchase, manage and redeem electronic savings bonds online through www.treasurydirect.gov. Electronic savings bonds are secure and convenient to manage through TreasuryDirect, and investors no longer have to worry about misplacing, losing or storing savings bonds. In addition, with a TreasuryDirect account, customers can purchase electronic savings bonds as gifts and also convert paper savings bonds to electronic.

We will stop accepting applications for paper savings bonds after December 31, 2011. Customers have until the close of business on that day to submit their final purchase applications and funds. Final applications mailed directly to the Federal Reserve by customers must be received by December 31, 2011.

Although we will stop accepting applications for paper savings bonds we will continue to redeem them for our customers. You may also like to hear that paper bonds which have not yet matured but are lost, stolen or destroyed can be reissued in paper or electronic form.

Beyond the Near-Term Clouds the Outlook May be Brightening for Long-Term Investors

2011-09-14T08:49:00.003-05:00

Market Commentary Highlights...

We believe that the most consistently accurate predictor of long-term stock market returns is the S&P 500 Index price-to-earnings ratio (P/E). The P/E has demonstrated consistent success predicting long-term returns going all the way back to the 1930s.

Focusing on the short-term can be paralyzing for many investors. Long-term investors can take heart since the P/E predicts that this is the best time in 20 years to consider buying, not selling, stocks.

History shows us that what really matters is the price we pay, not so much what happens along the way.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of September 13, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Certainty in an Uncertain World

2011-09-14T08:45:00.001-05:00

Economic Commentary Highlights...

Despite a full slate of economic data, policy (or lack thereof) continues to dominate the discussion.

Uncertainty reigns today, but uncertainty does not always end badly.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of September 13, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Not Owned, Not Covered, Not Good!

2011-09-13T16:40:00.004-05:00

As the fall approaches across the United States, millions of young people will embark on that great journey we call life on a college campus. Others entering their golden years and their families will consider the benefit of moving into an assisted living facility. Still others, uninterested in or unable to secure a home loan, will choose to move into an apartment or rental home.

What does each of the above circumstances have in common?

None of them own the home in which they are living—thus preventing them from purchasing a standard home insurance policy.

Yes, those individuals described above could find coverage for personal property or personal liability claims under the home insurance policy of someone else. For example, some policies will extend coverage to a student while living away attending school. However, reliance on someone else’s insurance is risky—coverage may be inadequate or nonexistent, depending on the terms of that policy.

If you’re one of the individuals described above—or feel responsible for someone that fits the description—wouldn’t you feel better knowing insurance coverage is in force?

Renters Insurance

Renters insurance is a generally used term to describe a policy designed for someone that does not own a home. Insurance carriers that sell renters insurance typically have their own rules to determine who is eligible. Many policies will offer both personal property (often called “contents”) and personal liability insurance.

Personal Property

Renters insurance is often marketed and sold for its ability to cover personal property. Many carriers focus on this function of the policy for psychological reasons. Why? It’s much easier for buyers to visualize the theft of or damage to personal property than it is to visualize a personal liability claim.

You can buy renters insurance at a limit sufficient to pay the cost to repair or replace damaged or stolen property. Some insurers allow buyers to choose to purchase coverage that will reimburse the cost to replace damaged property with a newer model—without deducting for depreciation. Others only allow buyers to buy insurance that will pay the actual cash value of the property, allowing the claims adjuster to deduct for depreciation. If available, the former option is preferable—many types of personal property, such as electronics and furniture, depreciate significantly.

Renters insurance may be sold on a “named” or “open” perils basis:

If the former option applies, coverage is limited to causes of loss or so-called “perils” specifically named in the policy. Let’s say your TV burns in a fire. It likely will be covered because fire is a named peril. If the event causing damage to the property is not a named peril, than no coverage will apply. For example, if your furniture is damaged in a flood it probably won’t be covered because flood is not a named peril.

If the open perils option applies, coverage is extended to any cause of loss or “peril” unless the event causing damage is specifically excluded. If available, this option is preferable, as you can never predict the event that will cause damage to your property.

Personal Liability

Many renters insurance policies also cover an insured’s personal liability. Let’s say you’re entertaining guests at a gathering at your apartment. A drink is spilled on the tile floor and someone slips and falls, causing serious bodily injury. As host, you could be found negligent for that person’s injury and made responsible for his or her medical bills. Without personal liability insurance, you would have to pay those potentially devastating costs out of your own pocket. Even worse, if a lawsuit were to arise, your personal assets also may be tapped to compensate that person for his or her injury. The types of bodily injury claims covered by your policy vary and should be reviewed carefully.

You also may be found personally liable for property damage caused to the space you are renting or to someone else’s property, such as a neighbor’s building. As with bodily injury, the types of property damage claims covered by your policy vary; again, review the coverage carefully.

Conclusion

Regardless of your living arrangement, choosing to live uninsured could prove financially devastating if your personal property is stolen or damaged. The same is true if you are responsible for someone’s injury or damage to his or her property. Call today and talk with a Trusted Choice® independent insurance agent for help in securing renters insurance for you or a loved one.

Policy Matters

2011-09-09T08:44:00.002-05:00

Economic Commentary Highlights...

A quiet week ahead for economic data in the United States, as policy retakes center stage.

August employment report disappoints, even relative to low expectations.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of September 6, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

The Markets’ Recession Obsession

2011-09-09T08:39:00.004-05:00

Market Commentary Highlights...

Investors may not need to worry about the impact of a recession since it already appears to be fully priced in to both stocks and bonds.

This is not unusual. Historically, the stock market has often bottomed before the recession was even declared. And, importantly, there have been times when the stock market fell and priced in a recession that did not take place, such as the bear markets of 1987 and 1998.

Based on our analysis of past earnings cycles, a recession level for the S&P 500 Index is about 1120, which is exactly where the Index bottomed out three times during the month of August.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of September 6, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Good Night, Irene

2011-09-07T11:45:00.001-05:00

Economic Commentary Highlights...

Hurricane Irene caused less damage than feared, but disrupted economic activity.
Expectations are low for the important August ISM and August employment readings.
Fed Chairman Bernanke’s August 26 speech in Jackson Hole, WY struck the right tone for markets.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of August 29, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Eurobonds: A Potential Positive Not Lost in Translation

2011-09-07T09:41:00.003-05:00

Market Commentary Highlights...

While market participants have been demanding a response by policy makers, they are looking for that response in Europe more than in the United States.

Creating a Eurobond market may provide global investors with a highly liquid, well-rated
alternative to U.S. Treasuries. The liquidity boost provided by an alternative to U.S. Treasuries may lower collective yields for the Eurozone members, even for Germany.

Eurobond draft legislation, which may be unveiled soon, may be helpful in providing market participants with a confidence boosting glimpse of a long-term solution to Europe’s debt problems that they have been demanding even if the implementation is not imminent.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of August 29, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Recession...Or Not?

2011-08-24T12:56:00.001-05:00

Economic Commentary Highlights...

Policymakers remain on the front lines this week, as economic data takes a back seat.
Several of the high frequency data points we watch to gauge recession risk have deteriorated in recent weeks, but the odds of a recession are still below 50% in the United States.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of August 22, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

A Recession of Confidence

2011-08-24T12:53:00.003-05:00

Market Commentary Highlights...

Rather than an economic recession, we seem to be experiencing a confidence recession.

In contrast to the pronounced lack of any recession readings in the U.S. economic data last week, the readings on sentiment were uniformly weak as they priced in a recession.

There are several events here and abroad in the next week or two that may provide the stimulus needed to turn around this confidence recession.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of August 22, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2011-08-22T15:30:00.003-05:00

Over the past week, the LPL Financial Current Conditions Index remained relatively unchanged at 207. The CCI is in line with levels not seen since the economic soft spot in August 2010.
The growth momentum in the index has stalled as the economy transitions from strong recovery to uneven, modest growth. Most components of the CCI point to an environment of slowing growth momentum over the past 13- and 52-weeks.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above commentary for the week of August 17, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

The LPL Financial Research Current Conditions Index is a weekly measure of the conditions that underpin our outlook for the markets and economy. The CCI provides real-time context and insight into the trends that shape our recommended actions to manage portfolios. This index has proven to be a useful tool for investment decision making.

This weekly index is not intended to be a leading index or predictive of where conditions are headed, but a coincident measure of where they are right now. We want to track the conditions in real-time to aid in investment decision making. There are thousands of indicators-some lead the economy, some lag, while others merely offer a lot of statistical noise. We chose to create our own index tailored to the current environment to provide the clearest and most useful way to track conditions. The components of the CCI are periodically changed to retune the index to those factors most critical to the markets and economy so it may continue to be a valuable investment decision-making tool.
Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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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

Summer Roller Coaster

2011-08-22T11:48:00.004-05:00

Economic Commentary Highlights...

Knowing the extent of the highs and lows and when it is going to be over play a crucial role in the summertime fun of riding a metal roller coaster. Riding a market roller coaster offers no such assurances and is no fun at all.

While last week’s volatility is unprecedented, we can take some comfort that the overall moves and sentiment in the market this summer are familiar; they echo those of last summer.

Last year, the roller coaster did not leave the track and the summer plunge turned into a steep climb as stock and bond yields rose to new post-recession highs. We continue to believe this summer’s drop will end with similar results and ultimately produce a modest single-digit gain for the S&P 500 in 2011.

View the entire Economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of August 17, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

The Downgrade: What You Need To Know

2011-08-08T16:51:00.004-05:00

Market Commentary Highlights...

We view the U.S. rating downgrade from AAA to AA+ as a disappointing, but lagging indicator of the pressures already reflected in the markets. We find plenty of historical evidence that markets have priced in the events that led to the downgrade much earlier than when the downgrades took place.
While there are some negative consequences, there are not triggers stemming from the downgrade that would spark a chain of events leading to a financial crisis.
Could this mark a “Sputnik moment” for policy makers tasked with finding the additional savings stipulated in the debt ceiling legislation?

The initial beneficiaries of the downgrade include precious metals and Treasuries given the hit to investor sentiment and the desire to seek safety and liquidity. Stocks, led by Financials, may initially suffer. However, low valuations and efforts to address the debt problems in Europe combined with improving economic data may put a halt to the stock market’s decline.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of August 8, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Double Dip?

2011-08-08T16:42:00.006-05:00

Economic Commentary Highlights...

Policy will likely be back on the front burner this week.
What policy actions might the Fed employ to boost the economy?
What indicators are we watching to monitor the risk of a double-dip recession?

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of August 8, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Securities and Insurance products offered through LPL Financial and its affiliates, member FINRA / SIPC.

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Current Conditions Index

2011-08-04T16:25:00.002-05:00

Over the past week, the LPL Financial Current Conditions Index fell to 211. The CCI has slid to a level not seen since the soft spot one year ago.

The growth momentum in the index has stalled as the economy transitions from strong recovery to uneven, modest growth. Most components of the CCI point to an environment of slowing growth momentum over the past 13- and 52-weeks.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of August 3, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

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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

Downgrades & Deleveraging

2011-08-03T13:36:00.002-05:00

Bond Market Perspectives...

Treasuries remain at risk of losing their coveted AAA rating despite the fact Congress has finally agreed on a debt limit deal.

In the event Treasuries do get downgraded, we do not see the key ingredients of a forced selling environment prevalent in today’s financial markets similar to the one witnessed in 2008.

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Bond Market Perspective for the week of August 3, 2011. It is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Midsummer Madness

2011-08-03T13:32:00.003-05:00

Economic Commentary Highlights...

Economic data replaces earnings and budget negotiations as the market’s likely focus this week.

Although the ink is not dry yet, the deal to raise the nation’s debt ceiling will help to lift some of the uncertainty that has hampered economic activity over the past few months.

The market is looking for a modest acceleration in private sector job creation in July and for the unemployment rate to remain stable at a still-elevated 9.2%

View the entire economic Commentary (pdf format)
Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of August 3, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Fiscal Fights for the Foreseeable Future

2011-08-03T13:25:00.004-05:00

Market Commentary Highlights...

While the current deal making in Washington may alleviate the problem of having “run out of debt capacity”, the government will soon “run out of money” if another deal is not reached by the end of next month to avoid a shutdown.

This serves as a reminder that the markets are going to have to deal with ongoing fiscal fights for the foreseeable future.

Nevertheless, stocks may post a modest relief rally on the debt ceiling agreement averting sharp spending cuts and a potential default. The backdrop for the market outside of Washington has been improving with further evidence coming to light last week.

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Not FDIC Insured	No Bank Guarantee	May Lose Value
Not a Deposit	Not Insured by any Federal Government Agency

Happy Days

2011-07-28T10:50:00.002-05:00

Market Commentary Highlights...

Recent news regarding a number of key market factors has been generally positive and our main concerns are beginning to lift.

For the past 12 months, the S&P 500 Index has been tracking its pattern of 60 years ago.

If the pattern holds — and the big issues overhanging the market are resolved or deferred — we may be due for a nice stock market rally in the coming months.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of July 25, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

What’s The Consensus?

2011-07-28T10:47:00.002-05:00

Economic Commentary Highlights...

A busy week of economic data and events in the United States and abroad will again play second fiddle to debt talks in the U.S.

What is the consensus for the U.S. and global economies in the second quarter of 2011, the rest 2011, and 2012?

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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

Current Conditions Index

2011-07-28T10:42:00.004-05:00

Over the past week, the LPL Financial Current Conditions Index slid to 225. The level of the CCI indicates an environment fostering growth in the economy and markets.

The growth momentum in the index has stalled as the economy transitions from strong recovery to uneven, modest growth. Most components of the CCI point to an environment of slowing growth momentum over the past 13- and 52-weeks.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of July 20, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

What’s Missing?

2011-07-28T10:36:00.004-05:00

Economic Commentary Highlights...

Economic data likely to play second fiddle to debt talks in the U.S. and Europe this week.

What’s missing in this economic recovery?

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of July 18, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

A Confidence Game

2011-07-18T16:58:00.005-05:00

Economic Commentary Highlights...

Data on inflation, the consumer and the manufacturing sector in the United States all will compete for attention this week with the start of the Q2 2011 earnings reporting season.

Fed Chairman Bernanke will be on the hot seat in Congress this week.

June Jobs Report Jolts Markets.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of June 27, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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. http://www.mylsb.com/

Earnings Season Preview

2011-07-18T16:51:00.004-05:00

Market Commentary Highlights...

Investors have high expectations for earnings this year. However, having climbed all the way back to near the prior peak, earnings growth is slowing as businesses have stepped up spending on materials, capital, and labor.

For the second quarter of 2011, corporate profits are forecast to have grown by just 8% from a year ago, the smallest gain in two years. We expect downward guidance on earnings in the second half of 2011 from business leaders in the coming weeks as they report their second quarter earnings, potentially leading to downward revisions to 2011 earnings by analysts, and acting as a headwind for stocks as the earnings season matures.

During this earnings season, we are paying special attention to transitory impacts, business spending, and guidance from business leaders on the earnings outlook for coming quarters.

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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. http://www.mylsb.com/

Current Conditions Index, 7/13/2011

2011-07-15T15:29:00.006-05:00

Over the past week, the LPL Financial Current Conditions Index rebounded slightly to 238. The level of the CCI indicates an environment fostering growth in the economy and markets.

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of June 27, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above commentary and others like it can be found at www.mylsb.com/investments/commentary.aspx ____________________________________________________________________________________

The LPL Financial Research Current Conditions Index is a weekly measure of the conditions that underpin our outlook for the markets and economy. The CCI provides real-time context and insight into the trends that shape our recommended actions to manage portfolios. This index has proven to be a useful tool for investment decision making.

This weekly index is not intended to be a leading index or predictive of where conditions are headed, but a coincident measure of where they are right now. We want to track the conditions in real-time to aid in investment decision making. There are thousands of indicators-some lead the economy, some lag, while others merely offer a lot of statistical noise. We chose to create our own index tailored to the current environment to provide the clearest and most useful way to track conditions. The components of the CCI are periodically changed to retune the index to those factors most critical to the markets and economy so it may continue to be a valuable investment decision-making tool.
___________________________________________________________________

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

Current Conditions Index

2011-07-07T09:45:00.004-05:00

We would like to provide you with a new report called the "Current Conditions Index" that is regularly released by our broker dealer LPL. this report explains current market conditions and the impact that these conditions will have on financial decision making.

The LPL Financial Research Current Conditions Index is a weekly measure of the conditions that underpin our outlook for the markets and economy. The CCI provides real-time context and insight into the trends that shape our recommended actions to manage portfolios. This index has proven to be a useful tool for investment decision making.

This weekly index is not intended to be a leading index or predictive of where conditions are headed, but a coincident measure of where they are right now. We want to track the conditions in real-time to aid in investment decision making. There are thousands of indicators-some lead the economy, some lag, while others merely offer a lot of statistical noise. We chose to create our own index tailored to the current environment to provide the

View the entire Current Conditions Index (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of June 27, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

A Look at Double-Dip Risks in the Economy

2011-06-29T10:41:00.002-05:00

Economic Commentary Highlights...

Few, if any, of the traditional harbingers of recession are in place today.

Although this week’s economic calendar in the United States is chock full of data for May and June, investors are likely to be looking for more as the week draws to a close ahead of the long holiday weekend in the United States.

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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

Pre-Announcement Season

2011-06-29T10:31:00.002-05:00

Market Commentary Highlights...

The so-called earnings “pre-announcement season” is upon us.

The current ratio of negative-to-positive preannouncements is 2.3, above the historical average pre-announcement ratio of 2.1; historically this 2.3 ratio has been followed by a gain of about 2% in the S&P 500 during the ensuing earnings season.

While the above average pre-announcement ratio may be a small positive for the earnings season once it gets underway, the next few weeks may continue to feature negative pre-announcements and modest losses for the stock market.

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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

Upcoming ATM Renovations

2011-06-27T12:23:00.003-05:00

In order for us to better serve our customers a number of our ATM's will be undergoing renovations over the next few weeks. The changes will allow customers with impairments to their vision to more easily use the machines.

Below is the list of ATM's that will be undergoing improvements and the dates that they will be out of order. Please take note of your local ATM location as to avoid any inconvenience for yourself.

Reinbeck – July 6
Waverly – July 7
Greene – July 11
Grinnell (Branch only) – July 13
Aplington – July 19
Tama – July 21
Hudson – July 26
Allison – July 28

The following locations will have a full ATM replacement:
CFDT – August 4
Waterloo – August 9
CFIP – August 11
Grinnell (college location only) – August 16

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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

Fed in Focus

2011-06-22T08:58:00.001-05:00

Economic Commentary Highlights...

The Fed’s policymaking arm, the Federal Open Market Committee (FOMC), meets to set policy this week.

We examine what might cause the FOMC to embark on another round of quantitative easing.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of June 20, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Greece Fire

2011-06-22T08:46:00.004-05:00

Market Commentary Highlights...

Europe’s Greece fire has been burning for well over a year despite attempts by the ECB and IMF to put it out. Investors are feeling the heat of the Greece fire, as it has added to the pressures on markets in recent weeks. However, after having spilled over into some European banks, it is highly unlikely to spread to the rest of the world in a dangerous fashion and trigger another global financial crisis.

While the events of 2008 are fresh in market participants’ minds, and it is often easy to draw comparisons to that financial crisis, there are other historical parallels — such as Argentina’s default in late 2001 — that present much less dire comparisons.

Many factors are likely to avoid a financial crisis stemming from Greece’s financial problems. European banks have already cut their exposure to the troubled peripheral European nations in half, a rescue package is emerging that avoids restructuring until banks are further braced for it, and money market funds are insignificantly exposed to European lenders most at risk of losses on Greek debt.

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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

Lowered Expectations

2011-06-14T13:02:00.002-05:00

Economic Commentary Highlights...

Over the past four weeks, only 25% of economic reports in the United States beat expectations.

This week, Fed Chairman Bernanke is likely to continue to prod Congress to put the United States on a sounder fiscal footing.

One of the under appreciated stories in the economy over the past several years has been the recovery in consumer net worth.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of June 13, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

America’s Latest Pastime

2011-06-14T12:57:00.002-05:00

Market Commentary Highlights...

The attraction of a summer day at the ballpark endures, but it is no longer the most common topic of conversation during these early days of summer. The boys of summer are taking a backseat to the Dogs of the Dow.

After six weeks of market declines, totaling almost 7%, as measured by both the Dow and the S&P 500, we believe we are the middle innings of this pullback with a few left to go.

The good news is that we do not expect this pullback to extend into extra innings and, despite the tough season, stocks are likely to have a winning year.

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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

Waiting for the Turn

2011-06-10T11:52:00.002-05:00

Economic Commentary Highlights...

Market participants will have to look elsewhere for direction this week amid a quiet week for economic reports in the United States.

On balance, the backdrop for hiring remains supportive for modest job creation in the coming months.

There are several key reports on the Japanese economy for May due out this week that are expected to show that the pace of recovery in Japan hastened in May.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of June 6, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Summertime Blues

2011-06-10T11:17:00.001-05:00

Market Commentary Highlights...

Last week’s reading on the ISM Index confirmed that the economy has entered a period of slower growth and stock market performance is likely to be modest and volatile in the months ahead. However, we do not envision a return to recession or a bear market for stocks.

While there is no cure for the summertime blues that accompany slow and uneven growth in the economy, there is portfolio medicine that may buffer the volatility.

While stocks should be considered as a component of a diversified portfolio, other asset classes such as high-yield bonds and commodities asset classes may offer better prospects and valuable diversification in the near future.

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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

Will the End of QE2 Derail the Economy?

2011-06-02T09:19:00.002-05:00

Economic Commentary Highlights...

The economic data for April and May continues to be impacted by poor weather and the Japanese earthquake. Is the weak economic data a signal or just noise?

The end of QE2 and its impact on the economy.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of May 23, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

The Final Voyage of QE2

2011-06-02T08:28:00.003-05:00

Market Commentary Highlights...

As the grand ocean liner the QE2 embarked on her final voyage, she ran aground on a sandbank near the Isle of Wight.

Might the markets run aground on unseen risks as the Fed’s flagship QE2 program comes to its finish at the end of June?

We do not think so, the economy is much better equipped to handle unseen risks than after the end of QE1.

The real issue for the post-QE2 environment may be the financial position of the United States and the outlook for fiscal, rather than monetary, policy.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of May 31, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Hawks and Doves

2011-05-25T13:44:00.001-05:00

Economic Commentary Highlights...

Housing and manufacturing data due out this week still reflect an economic “lull”.

Several Federal Reserve policy “hawks” will flap their wings this week.

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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

Judgment Day

2011-05-25T13:30:00.004-05:00

Market Commentary Highlights...

The events predicted for the purported Judgment Day, this past Saturday, did not come to pass. Nevertheless, early last week market participants acted as if the end was near.

As we pass judgment on the recent market and economic performance, we find the evidence to be much less than apocalyptic.

The most important conditions are much better now than a year ago and, as investor sentiment rebounds, we expect commodity prices to rise after the sharp pullback over the past several weeks.

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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

The Market’s Balance Sheet

2011-05-20T16:17:00.002-05:00

Market Commentary Highlights...

Many factors are vying for investors’ attention. One way to look at the balance of factors driving the markets is to create a balance sheet.

The more balanced current environment for growth than experienced over the past two years suggests that the economic expansion is self-sustaining, but moderate.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of May 16, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Housing Woes Continue

2011-05-20T16:04:00.002-05:00

Economic Commentary Highlights...

The week ahead includes data on manufacturing and housing.

A look at the state of the housing market two years into the economic recovery.

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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

Customer Benefits From Upcoming Core Conversion

2011-05-18T14:14:00.009-05:00

You may have heard recently that we have decided to upgrade our Core Operating System. In an effort to provide our broad range of financial solutions in a cohesive, unified way we have chosen Open Solutions' DNA product.

DNA is an enterprise-wide core relational platform that creates a comprehensive view of customers, employees and business partners. We have no doubt that this functionality will greatly increasing workflow, flexibility and productivity.

Open Solutions’ data structure and open architecture will improve internal efficiencies and enhance the customer experience through all channels. They are a leading provider of integrated enabling technologies for financial service providers throughout the United States, Canada and other international markets. We are very excited about the conversion and can not wait to share the rewards with our customers.

In a recent Press Release Louis Hernandez, Jr., chairman and CEO of Open Solutions also speaks of how excited they about the conversion, “These banks are great examples of community financial institutions that are capitalizing on their potential for growth and success by utilizing leading-edge technology to fulfill their goal of the highest level of customer service. We are proud to work with institutions that value the communities they serve with long-term goals of support and innovation. We look forward to a productive and lasting relationship with Lincoln Savings".

View the entire article

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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

Busy Week for Data and Policy

2011-05-04T09:06:00.002-05:00

Economic Commentary Highlights...

April ISM, jobs reports bookend a busy week for data.

Policy parade at home and abroad.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of May 2, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

The End of an Era

2011-05-04T08:55:00.007-05:00

Market Commentary Highlights...

As the combat troops leave Iraq and the proportional response to the threat in Afghanistan is now assessed, the United States will likely regain the resources and focus to project more effective foreign policy influence over the rest of its interests. This means geopolitical risk in the capital markets may not decline materially, muting the market’s initial reaction.

View the entire market commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Market Commentary for the week of May 2, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Mirror Images: Dollar Down, Stocks Up

2011-05-03T13:05:00.004-05:00

Market Commentary Highlights...

The ongoing decline in the US dollar is reinforced by several pressures including the unsustainable budget deficit, slackening foreign demand, and the easy monetary policy of the Federal Reserve (Fed). The dollar may get a respite this Wednesday, April 27, when Fed Chairman Ben Bernanke may signal a pending transition in Fed policy. However, any near-term dollar strength is likely to be short-lived and we expect the orderly decline in the dollar to continue and maintain the favorable, mirror- image-like relationship with the stock market.

View the entire market commentary. (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of April 25, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Focus on the Fed

2011-05-03T12:54:00.004-05:00

Economic Commentary Highlights...

The first-ever post-FOMC press conference highlights this week’s economic calendar.

The economy probably decelerated in the first quarter, but the expansion is far from over.

View the entire economic Commentary (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of April 25, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Beige Book and Budget Battle Take Center Stage

2011-04-14T11:54:00.002-05:00

Economic Commentary Highlights...

Beige Book and March CPI highlight a busy economic calendar.

One budget battle ends and another begins.

View the entire economic commentary. (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of April 11, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Earnings Season Preview

2011-04-14T11:42:00.004-05:00

Market Commentary Highlights...

The S&P 500 earnings per share (EPS) for the first quarter of 2011 may set a record as the highest first quarter EPS in history.

However, corporate profits have slowed as businesses have stepped up spending on materials, capital, and labor.

During this earnings season, we are paying special attention to business spending, the impact of high and rising commodity prices,and guidance from business leaders on the EPS outlook for coming quarters along with the impact from the events in Japan, North Africa, and the Middle East.

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 April 11, 2011. 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

Who Turned Down the Volume?

2011-04-05T10:35:00.004-05:00

Market Commentary Highlights...

March saw the lightest month for trading since December 1999 as the trend of declining trading volume that began at the start of 2010 has continued.

Those wishing for more volume should be careful what they wish for since a rebound in trading volume may come with the return of volatility, rather than the steady gains we have seen since last summer.

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 April 4, 2011. 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

Policy Parade

2011-04-05T10:30:00.003-05:00

Economic Commentary Highlights...

March retail sales: A battleground for improving job market and rising energy prices.

Plenty to cheer about in the March jobs report.

Fiscal and monetary policy debates to dominate this week.

View the entire economic commentary. (pdf format) Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of April 4, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

LSB Mortgage is Expanding!

2011-03-21T11:51:00.004-05:00

Lincoln Savings Bank (LSB) is pleased to announce the opening of an LSB Mortgage office in Clive. Kevin Wosmansky has been hired as Vice President Mortgage Lending for the Clive office where he will oversee the residential mortgage lending operations. Kevin was previously the president of Heartland Mortgage, and is bringing an experienced staff of mortgage bankers and operations support. LSB Mortgage is fortunate to have taken on such an experienced and talented staff, including 14 mortgage bankers: Jenny Greene, Barb Wosmansky, Matt Wosmansky, Cody Franson, Zuleika DeLeon, Mark Nissen, Luke Landis, Kevin Wosmansky, David Bell, Shannon Thome, Keri Hanzlick, Maggie Shaw and Kirsten Martin. A four person operations staff was also added: Amy Zuck, Megan Riesberg, Scott Wosmansky and Paulina Andrade. Lincoln Savings Bank is extremely excited to begin servicing the residents of Clive and the general Des Moines area. With the recent opening of our office in Adel and now this office in Clive, we are confident that we can provide the quality service that has helped us prosper for 109 years. LSB Financial and Lincoln Savings Bank together comprise a $500,000,000 financial services organization with 190-employees serving customers through offices in Central and Northeast Iowa. LSB Financial offers coordinated financial solutions including personal and commercial insurance; investment services; trust & estate planning; employee benefit programs; and real estate services. Lincoln Savings Bank provides a wide array of full-service banking solutions and financial planning services.

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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

Focus on Japan and the Fed

2011-03-15T16:04:00.003-05:00

Economic Commentary Highlights...

We examine Japan’s economy and the earthquake impact on Japan’s growth prospects.
A look at the key issues at this week’s Federal Open Market Committee meeting.
United States economy still chugging along despite higher energy prices.

View the entire economic commentary. (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of March 14, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Aftershock

2011-03-15T15:55:00.002-05:00

Market Commentary Highlights...

The markets may react negatively this week as a financial aftershock to the 9.0 earthquake that struck Japan this past Friday. However, the overall impact on markets is likely to be limited.

Following the devastating earthquake in Kobe, Japan in January 1995 the Japanese stock market fell 25% in the following five months.

The earthquake adds to the list of macroeconomic concerns that include the violence in Libya and Europe’s debt problems.

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 March 14, 2011. 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

Cinderella: The Last Chapter

2011-03-14T15:35:00.003-05:00

Market Commentary Highlights...

It is appropriate that this past Friday, March 4, marked both the 61st anniversary of the release of Disney’s Cinderella and the release of the February employment report that helps to tell the final chapter of the Cinderella story of the economic and market turnaround of the past two years.

While GDP, consumer spending, and the stock market are at or near all-time highs and the manufacturing sector is booming, job growth has lagged in this economic rags-to-riches story leaving it incomplete.

Friday’s market action and soaring oil prices serve as a reminder that even as the last chapter of this Cinderella story unfolds, new stories are being written that may be less favorable for the markets.

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 March 7, 2011. 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

Economy Appears to be Accelerating as it Absorbs Higher Energy Prices

2011-03-14T15:32:00.002-05:00

Economic Commentary Highlights...

This week is relatively quiet for economic data and events
Rising gasoline prices are likely to impact the February retail sales report
Strong February jobs report highlights a strong week for U.S. economic data

View the entire economic commentary. (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of March 7, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Will Rising Energy Prices Derail the Recovery?

2011-03-03T15:36:00.002-06:00

Economic Commentary Highlights...

The February jobs report dominates this week’s extremely busy data calendar.
Fed Chairman Bernanke, a potential government shutdown, and several key central bank meetings are on the docket this week.
Putting the recent rise in consumer energy prices in perspective.

View the entire economic commentary. (pdf format)

Lincoln Savings Bank and LSB Financial are pleased to provide the above Economic Commentary for the week of March 1, 2011. The commentary is prepared by LPL FINANCIAL RESEARCH, the broker-dealer partner for Lincoln Savings Bank and LSB Financial. The above 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

Markets May Hit the Ceiling

2011-03-03T15:23:00.003-06:00

Market Commentary Highlights...

The markets could face a government shutdown at the end of this week if Congress does not agree to a continuing resolution to extend funding for this fiscal year on or by March 4.

During the last government shutdown the Federal Reserve cut interest rates helping to
halt the stock market’s slide.

The range of potential outcomes could include default on U.S. government debt at the extreme; however, the most likely outcome is that the impasse is resolved with modest cuts and is probably neutral for the markets. But that may not come until a market volatility inducing showdown in Congress over funding takes place starting this week.

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 March 1, 2011. 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