MARKET WEEK: NOVEMBER 18, 2019 THE MARKETS (AS OF MARKET CLOSE NOVEMBER 15, 2019) in the 12-month period ended October 2016. Prices for services rose 0.3 % last month, boosted by a 08 % advance in margins for trade services, which measure changes in margins received by wholesalers and retailers. The index for goods advanced 07 % in October , the largest increase since a 1.0% jump in March. Seventy percent of the October rise in goods is attributable to prices for energy, which moved up 2.8 % The large caps of the Dow and S&P 500 surged last week. The Dow reached 28000 for the first time in its history while the S&P 500 posted solid gains for the sixth consecutive week. Investors continued to be bullish on hopes that a trade deal between the United States and China is on the horizon. The tech stocks of the Nasdaq also climbed last week while the small-cap Russell 2000 and the Global Dow dropped back. Year-to-date, each of the benchmark indexes listed here are well ahead of their 2018 closing values, led by the Nasdaq, which is nearly 30 % ahead of last year's ending mark Both import and export prices fell in October, further evidencing waning global inflation. Import prices dropped 0.5 % while export prices dipped 01 %. For the yeat import prices are down 3.0 % and export prices are off 2.2 %. Driving import prices lower was a 3.7% drop in petroleum prices, which more than offset a 32.0 % increase in natural gas prices. Fuel prices declined 13.7 % over the past year. For exports, a O.6% decline in prices of nonagricultural industrial supplies and materials offset a 1.9 % indcrease in agricultural export prices. Oil prices rose last week, closing at $5793 per barrel by late Friday afternoon, up from the prior week's price of $57.39. The price of gold (COMEX) rebounded last week, closing at $1,468.70 by late Friday afternoon, up from the prior week's price of $1,459.20. The national average retail regular gasoline price was $2.615 per gallon on November 11, 2019, $0.010 more than the prior week's price but $0.071 less than a year ago. Manufacturing continues to lag in 2019. The Federal Reserve's industrial production index fell 0.8 % in October after dropping 0.3 % in September.Manufacturing production decreased 0.6 %, primarily due to a 7:1 % drop in the output of motor vehicles and parts that resulted from a strike at a major auto manufacturer. The decreases for total industrial production, manufacturing, and motor vehicles and parts were their largest since May 2018, April 2019, and January 2019, respectively. Mining production decreased 07 %, while utilities output fell 2.6%. Overall, total industrial production was 11% lower in October than it was a year earlier Wedky YTD 20 Clese Prior Week As of 11/15 Markinde Change Change 2332746 2004 89 DA 2781 24 1.17% 20.0% e25 2 a540 2872% Nasdag 47531 077 2585 135 2736 74 320 SAP 500 303 0 244% Ru 2000 15886 415 1838 Dow 313791 3354 3 152 01% Fed Funds targe22% 20% 150-175% 10-175s obps 5bs te 0 year Teasues2se The first month of the new fiscal year for the federal government saw October start off with a deficit of $134.5 billion, 34 % higher than the $100.5 billion deficit the prior October. Govenment receipts totaled $245.5 billion, with $126.4 billion coming from individual income taxes and $6.6 billion received from corporate income taxes. The federal government spent $380.0 billion in October, with Social Security ($890 billion) National Defense ($710 billion), and Medicare ($56.0 billion) accounting for most of the expenditures, as usual. Chart etects price changes, not sol retu Because it does not include divicends or sples, should not be used to benchmark performance of specitic investments LAST WEEK'S ECONOMIC NEWS Inflation, as measured by the Consumer Price Index, rose 04 % in October, However core prices (less food and energy) inched up 0.2 %. After recent monthly declines energy prices increased 2.7 % last month, accounting for more than half of the increase in the overall CPI. Within the energy index, gasoline prices rose 37 % in October. Food prices rose 0.2 % Over the last 12 months, the CPI has risen 18 %. Over the same period core prices are up 2.3 % Retail sales rose 0.3 % in October and are up 3.19% since October 2018. Last month turned out to be a bounce back for retail sales, which fell 0.3 % in September In October motor vehicle sales rose 0.5 % . gasoline sales climbed 11 % , and nonstore (online) sales Surged 0.9% On the downside, sales at clothing stores fell 1.0 % and furniture store sales dropped 0.9 % Producer prices rose 0.4 % in October after falling 0.3 % in September. Prices are up 11% for the 12 months ended in October, the smallest indcrease since a comparable rise For the week ended November 9, there were 225,000 claims for unemployment insurance, an increase of 14,000 from the previous week's level. According to the Department of Labor, the advance rate for insured unemployment claims remained at 12 % for the week ended November 2. The advance number of those receiving unemployment insurance benefits during the week ended November 2 was 1,683.000. a decrease of 10.000 from the prior week's level, which was revised up by 4,000. EYE ON THE WEEK AHEAD This week the focus is on the continuing trade negotiations between the United States and China-clearly a market mover. Also, economic reports center on the housing sector, with October housing starts figures as well as the latest on existing home sales. Duta sources: News tems are based on repots trom mutple commony avalable intenational news sources fe wre senvicest and ane independenty vened when necessary wth seconday sources such as govenmest agences, corposote press releeses, or trade oraniations Market data Based on dta neported in WSJ Market Dets Center (ndees US Treasury (resury yeldst US Energy nlomation AdministtionBloomberg co Maret Da jol spotpeice, Wh Cusing O www.goldprice .orgpt goldsivert OendaFX Street joumency exchange raes Alifomation is based o sources deemed relable, but no warranty or guarantee is made as to es accuracy or completeness Nether the information nor any opinion expressed hesein consttutes a solictation for the purchase or sale of any securties and should not be reled on as fieancial advice. Past pertormance is no guaatee of future resuts All investing involves risk, incuding the potential loss of principal and there can be no guarantee that ony investing strtegy wibe successh The Dow Jones industial veage DAsa priceweghted index composed of 30widey aded blue-ip Us.common stocks The S&P 500 s a market-cap weighstedindes composed of the common stocks of 500 eading companies in leadng incdusthies of the US economy The NASDAO Composte Index is a market value weighted index of all common stocks leted on the NASDAO stock exchange The Rusell 2000 8 a market cap weighted index composed of 2.000 US smallcap common stocks The Giobal Dow is an equaly weighted index of 150 widely traded blue chip common stocks worldwide Mariet indices lsted are unmanaged and ane not ovalible for dect vestment STIRLING WEALTH MANAGEMENT Stirling Wealth Management was founded on a simple belef that everyone's economic and life situation is unique. We keep that simple principle at the forefront when creating tailored financial plans for our clients. As veteran Financial Advisors, we have vast experience researching the marketplace and acvising our clients on the products and services that best at fanney Montgomery Scott LLC Janney meet their needs. We are dedicated to learning about your personal goals, and together we will use that information to build a solid financial plan focused on your specific needs. STIRLING WEALTH MANAGEMENT AT JANNEY MONTGOMERY SCOTT LLC 2200 Georgetowne Drive, Suite 400, Sewickley, PA 15143 www.stirlingwealthmanagement.com I 724.934.2953 1 in ANNIY MONTCOMERY SCOTT LLC MEMBER NYSE FNRA SPC Www.ANNY.COM MARKET WEEK: NOVEMBER 18, 2019 THE MARKETS (AS OF MARKET CLOSE NOVEMBER 15, 2019) in the 12-month period ended October 2016. Prices for services rose 0.3 % last month, boosted by a 08 % advance in margins for trade services, which measure changes in margins received by wholesalers and retailers. The index for goods advanced 07 % in October , the largest increase since a 1.0% jump in March. Seventy percent of the October rise in goods is attributable to prices for energy, which moved up 2.8 % The large caps of the Dow and S&P 500 surged last week. The Dow reached 28000 for the first time in its history while the S&P 500 posted solid gains for the sixth consecutive week. Investors continued to be bullish on hopes that a trade deal between the United States and China is on the horizon. The tech stocks of the Nasdaq also climbed last week while the small-cap Russell 2000 and the Global Dow dropped back. Year-to-date, each of the benchmark indexes listed here are well ahead of their 2018 closing values, led by the Nasdaq, which is nearly 30 % ahead of last year's ending mark Both import and export prices fell in October, further evidencing waning global inflation. Import prices dropped 0.5 % while export prices dipped 01 %. For the yeat import prices are down 3.0 % and export prices are off 2.2 %. Driving import prices lower was a 3.7% drop in petroleum prices, which more than offset a 32.0 % increase in natural gas prices. Fuel prices declined 13.7 % over the past year. For exports, a O.6% decline in prices of nonagricultural industrial supplies and materials offset a 1.9 % indcrease in agricultural export prices. Oil prices rose last week, closing at $5793 per barrel by late Friday afternoon, up from the prior week's price of $57.39. The price of gold (COMEX) rebounded last week, closing at $1,468.70 by late Friday afternoon, up from the prior week's price of $1,459.20. The national average retail regular gasoline price was $2.615 per gallon on November 11, 2019, $0.010 more than the prior week's price but $0.071 less than a year ago. Manufacturing continues to lag in 2019. The Federal Reserve's industrial production index fell 0.8 % in October after dropping 0.3 % in September.Manufacturing production decreased 0.6 %, primarily due to a 7:1 % drop in the output of motor vehicles and parts that resulted from a strike at a major auto manufacturer. The decreases for total industrial production, manufacturing, and motor vehicles and parts were their largest since May 2018, April 2019, and January 2019, respectively. Mining production decreased 07 %, while utilities output fell 2.6%. Overall, total industrial production was 11% lower in October than it was a year earlier Wedky YTD 20 Clese Prior Week As of 11/15 Markinde Change Change 2332746 2004 89 DA 2781 24 1.17% 20.0% e25 2 a540 2872% Nasdag 47531 077 2585 135 2736 74 320 SAP 500 303 0 244% Ru 2000 15886 415 1838 Dow 313791 3354 3 152 01% Fed Funds targe22% 20% 150-175% 10-175s obps 5bs te 0 year Teasues2se The first month of the new fiscal year for the federal government saw October start off with a deficit of $134.5 billion, 34 % higher than the $100.5 billion deficit the prior October. Govenment receipts totaled $245.5 billion, with $126.4 billion coming from individual income taxes and $6.6 billion received from corporate income taxes. The federal government spent $380.0 billion in October, with Social Security ($890 billion) National Defense ($710 billion), and Medicare ($56.0 billion) accounting for most of the expenditures, as usual. Chart etects price changes, not sol retu Because it does not include divicends or sples, should not be used to benchmark performance of specitic investments LAST WEEK'S ECONOMIC NEWS Inflation, as measured by the Consumer Price Index, rose 04 % in October, However core prices (less food and energy) inched up 0.2 %. After recent monthly declines energy prices increased 2.7 % last month, accounting for more than half of the increase in the overall CPI. Within the energy index, gasoline prices rose 37 % in October. Food prices rose 0.2 % Over the last 12 months, the CPI has risen 18 %. Over the same period core prices are up 2.3 % Retail sales rose 0.3 % in October and are up 3.19% since October 2018. Last month turned out to be a bounce back for retail sales, which fell 0.3 % in September In October motor vehicle sales rose 0.5 % . gasoline sales climbed 11 % , and nonstore (online) sales Surged 0.9% On the downside, sales at clothing stores fell 1.0 % and furniture store sales dropped 0.9 % Producer prices rose 0.4 % in October after falling 0.3 % in September. Prices are up 11% for the 12 months ended in October, the smallest indcrease since a comparable rise For the week ended November 9, there were 225,000 claims for unemployment insurance, an increase of 14,000 from the previous week's level. According to the Department of Labor, the advance rate for insured unemployment claims remained at 12 % for the week ended November 2. The advance number of those receiving unemployment insurance benefits during the week ended November 2 was 1,683.000. a decrease of 10.000 from the prior week's level, which was revised up by 4,000. EYE ON THE WEEK AHEAD This week the focus is on the continuing trade negotiations between the United States and China-clearly a market mover. Also, economic reports center on the housing sector, with October housing starts figures as well as the latest on existing home sales. Duta sources: News tems are based on repots trom mutple commony avalable intenational news sources fe wre senvicest and ane independenty vened when necessary wth seconday sources such as govenmest agences, corposote press releeses, or trade oraniations Market data Based on dta neported in WSJ Market Dets Center (ndees US Treasury (resury yeldst US Energy nlomation AdministtionBloomberg co Maret Da jol spotpeice, Wh Cusing O www.goldprice .orgpt goldsivert OendaFX Street joumency exchange raes Alifomation is based o sources deemed relable, but no warranty or guarantee is made as to es accuracy or completeness Nether the information nor any opinion expressed hesein consttutes a solictation for the purchase or sale of any securties and should not be reled on as fieancial advice. Past pertormance is no guaatee of future resuts All investing involves risk, incuding the potential loss of principal and there can be no guarantee that ony investing strtegy wibe successh The Dow Jones industial veage DAsa priceweghted index composed of 30widey aded blue-ip Us.common stocks The S&P 500 s a market-cap weighstedindes composed of the common stocks of 500 eading companies in leadng incdusthies of the US economy The NASDAO Composte Index is a market value weighted index of all common stocks leted on the NASDAO stock exchange The Rusell 2000 8 a market cap weighted index composed of 2.000 US smallcap common stocks The Giobal Dow is an equaly weighted index of 150 widely traded blue chip common stocks worldwide Mariet indices lsted are unmanaged and ane not ovalible for dect vestment STIRLING WEALTH MANAGEMENT Stirling Wealth Management was founded on a simple belef that everyone's economic and life situation is unique. We keep that simple principle at the forefront when creating tailored financial plans for our clients. As veteran Financial Advisors, we have vast experience researching the marketplace and acvising our clients on the products and services that best at fanney Montgomery Scott LLC Janney meet their needs. We are dedicated to learning about your personal goals, and together we will use that information to build a solid financial plan focused on your specific needs. STIRLING WEALTH MANAGEMENT AT JANNEY MONTGOMERY SCOTT LLC 2200 Georgetowne Drive, Suite 400, Sewickley, PA 15143 www.stirlingwealthmanagement.com I 724.934.2953 1 in ANNIY MONTCOMERY SCOTT LLC MEMBER NYSE FNRA SPC Www.ANNY.COM