March 31st 2011

Yet another up day for the Dow Jones Industrial Average as the index notched 71.6 points of gains or
0.58%. Nasdaq Composite advanced 19.9 points to 2,776.79 or 0.72% higher, while the S&P 500
finished at 1,328.26, up 8.82 points or up 0.67%.

US economic indicator only featured the ADP employment report, which showed a 201K gains in
private payrolls, less than the payrolls gained in February, and missed the consensus of 205K gains.
However, the reading was considered okay as the number remained above 200K. Nonfarm payrolls
which will be released on Friday, is seen dipping to 178K from 192K in February and relating it with
the last ADP report, we may see payrolls to be somewhat in line with the anticipated level at around
178K.

No other critical issues in place in the market though, but there were two industry related news:

Global IT spending is seen at $3.6T in 2011, up 5.6% from $3.4T in 2010, according to Gartner.
Gartner previously forecast a rise of 5.1%.
The Debit Interchange Fee Study Act is on its way to the Senate which would delay new rules that
would otherwise lower debit card “swipe” fees. The Federal Reserve however, to remain
committed to complete the rule making for the cap provision before July 21st.

Corporate News
BA won a $528.12M contract for the procurement of 25 CH-47F cargo helicopters while also
finalized an order from GE Capital Aviation Services for 10 777-300ER planes. The BA & GE
deal worth around $2.8B.
BAC has been questioned by investigators regarding the relationship between its senior broker in
and the ex-Galleon Raj Rajaratnam. Rajaratnam has been accused of committing fraud worth
millions of dollars. BAC’s CEO Moynihan also said that the bank intends to bolster dividend and
conduct shares buybacks.
DD extended its $6B offer for Danisco to April 29th to allow for more time to win regulatory
approvals in the EU and China.
GE’s Immelt said that his credibility as the head of Obama’s Council on Jobs and Competitiveness
won’t be affected by a report that GE did not pay fed taxes last year. GE paid, he said, lower
tax rate, but will pay more in coming years.
JNJ plans to revamp its Tylenol unit which has been hit by recalls in recent times, costing the
company a lot of money.

1 .DJI 12,350.60 (+71.60 ● +0.58%) .SPX 1,328.26 (+8.82 ● +0.67%) .IXIC 2,776.79 (+19.90 ● +0.72%)
 March 31st 2011

Stock Focus: Coca-Cola, Co.

KO
Last Mar 30th Resistances 67.40 68.95 71.35 76.50 83.90
$66.04 0.49% Supports 65.88 65.25 64.50 63.88 63.30
WTD MTD Outlook
1.26% 6.16%
POSITIVE
YTD 12-Month
0.41% 20.07% Strategy Buy dips to 65.25-65.88, PT 68.95, 71.35, risk < 63.88

KO turns bullish on Wednesday as it broke higher to set a multi-month high at $66.49. This opens the
way higher to the next technical level at $67.40 and later on $68.95. All three key indicators are in
good shapes with MACD keeps on rising, as well as the EMAs, and that RSI remains below the
OVERBOUGHT area. Pullback may loom, but it could be used as entry point, possibly around $65.25
to $65.88. Risk lies below $63.88.
2 .DJI 12,350.60 (+71.60 ● +0.58%) .SPX 1,328.26 (+8.82 ● +0.67%) .IXIC 2,776.79 (+19.90 ● +0.72%)
 March 31st 2011

Price Performance - as of Mar 30th 2011

Code Last Dy WTD MTD YTD 12-Mos
AA 17.64 0.86% 3.22% 9.36% 14.62% 23.88%
AXP 45.91 0.57% 0.70% 4.67% 6.97% 11.27%
BA 73.80 0.24% 0.63% 6.60% 13.09% 1.64%
BAC 13.45 0.75% 0.82% -1.10% 0.82% -24.65%
CAT 111.53 0.90% 2.24% 16.57% 19.08% 77.45%
CSCO 17.33 -0.63% 0.29% -17.20% -14.34% -33.42%
CVX 108.01 0.60% 1.15% 15.68% 18.37% 42.44%
DD 55.37 1.43% 2.35% 10.10% 11.01% 48.68%
DIS 43.35 0.95% 0.88% 11.58% 15.57% 24.18%
GE 20.11 1.26% 1.82% -0.45% 9.95% 10.49%
HD 37.57 -0.34% 0.40% 2.37% 7.16% 16.14%
HPQ 41.30 0.46% -2.89% -9.25% -1.90% -22.30%
IBM 163.60 0.44% 0.88% 2.76% 11.47% 27.56%
INTC 20.46 0.89% 0.44% -4.66% -2.71% -8.21%
JNJ 59.38 0.27% 0.68% -1.05% -3.99% -8.93%
JPM 46.45 0.93% 1.29% 4.29% 9.50% 3.80%
KFT 31.48 0.67% 0.70% 3.11% -0.10% 4.10%
KO 66.04 0.49% 1.26% 6.16% 0.41% 20.07%
MCD 75.81 0.58% 0.74% 3.45% -1.24% 13.62%
MMM 92.47 -0.40% 0.22% 5.75% 7.15% 10.65%
MRK 33.30 1.59% 2.24% 0.70% -7.60% -10.84%
MSFT 25.61 0.47% -0.04% -7.74% -8.24% -12.56%
PFE 20.34 -0.20% -0.05% 12.07% 16.16% 18.60%
PG 61.97 1.13% 1.79% -3.47% -3.67% -2.05%
T 30.71 2.20% 6.45% 11.71% 4.53% 18.85%
TRV 59.39 0.22% 0.70% 6.41% 6.61% 10.10%
UTX 84.23 0.13% 0.85% 3.44% 7.00% 14.43%
VZ 38.46 0.44% 3.14% 7.94% 7.49% 23.98%
WMT 52.36 0.19% 0.02% -7.65% -2.91% -5.83%
XOM 84.49 1.49% 1.04% 6.96% 15.55% 26.14%

3 .DJI 12,350.60 (+71.60 ● +0.58%) .SPX 1,328.26 (+8.82 ● +0.67%) .IXIC 2,776.79 (+19.90 ● +0.72%)
 March 31st 2011

Analysts' Upgrades & Downgrades

Ratings Price Target
Code House
Previous Current Previous Current
CSCO Sterne Agee - Buy - $29.00
GE Barclays Overweight Overweight $25.00 $25.00
HPQ Sterne Agee - Buy - $56.00
n Sector-wide n Upgrade n Downgrade n Initiation

US Economic Calendar
Date Time Report Period Actual Forecast Previous
28-Mar 8:30 AM Personal income Feb 0.3% 0.4% 1.2%
28-Mar 8:30 AM Consumer spending Feb 0.7% 0.6% 0.2%
28-Mar 8:30 AM Core PCE price index Feb 0.2% 0.2% 0.2%
28-Mar 10:00 AM Pending home sales Feb 2.1% n/a -2.8%
29-Mar 9:00 AM Case-Shiller home prices Jan -1.0% n/a -1.0%
29-Mar 10:00 AM Consumer confidence March 63.4% 62.3 72.0
30-Mar 8:15 AM ADP employment March 201K 205K 217K
31-Mar 8:30 AM Jobless claims 26-Mar 380K 382K
31-Mar 9:45 AM Chicago PMI March 68.9% 71.2%
31-Mar 10:00 AM Factory orders Feb 0.5% 3.1%
1-Apr 8:30 AM Nonfarm payrolls March 178K 192K
1-Apr 8:30 AM Unemployment rate March 9.0% 8.9%
1-Apr 8:30 AM Average hourly earnings March 0.2% 0.0%
1-Apr 10:00 AM ISM March 61.6% 61.4%
1-Apr 10:00 AM Construction spending Feb 0.4% -0.7%
1-Apr TBA Motor vehicle sales March 13.1 mln 13.4 mln

Disclaimer: This report is provided for information purposes only. It is not an offer to sell or to buy any securities. This
report has been prepared based on sources believed to be reliable, but there is no assurance or guarantee regarding its
completeness and accuracy. The author accepts no responsibility or liability arising from any use of the report.

4 .DJI 12,350.60 (+71.60 ● +0.58%) .SPX 1,328.26 (+8.82 ● +0.67%) .IXIC 2,776.79 (+19.90 ● +0.72%)