Oklahoma City and Your Weekly Update

Last week, markets dipped and recovered. Oklahoma City, however, wasn’t given the luxury of time to recover before yet another devastating tornado struck again.

JL Davis has clients there, as well as some very deep family roots, which you might enjoy reading about in the attached.

We encourage you to pass along this week’s Update to friends and family who might want to know how they can help those whose lives were forever altered by the events of the last couple of weeks.

Our thoughts and prayers are certainly with them at this time.

All the best,
Lee and Jeremy


This Week’s Quote:

“What constitutes a life well spent, anyway? Love and admiration from your fellow men is all that anyone can ask”
~ Will Rogers, famous Oklahoman


JL Davis Thoughts This Week:

The Davis family has some deep roots in Oklahoma City and we’re saddened at the tragic events of the last few days. We’re also mobilized, as you‘ll see in a moment.

When John Calvin Davis brought his wife Iva and their three sons, Leland, Lee, and Austin to Oklahoma City in the early 1920’s the last thing on their mind was probably the weather. Having journeyed from Clearfield, Iowa, it’s a safe bet they’d seen plenty of tornadoes. Perhaps they saw one as large as those that struck Oklahoma City in the last two weeks. Many of the Davis family members in that part of the world passed away years ago and are fondly remembered.

Also fondly thought of are the many friends, family and clients we have in the area. Our thoughts and prayers go out to them at this time. By now, we all know the death toll and the devastation there from the news reports. What we may or may not know are the ways that we can help those whose lives have been devastated. We are making two charitable donations — one personally and one in the name of JL Davis Financial Corporation that we trust will help provide some support and comfort. If you want to do the same, here are four avenues to consider:

Catholic Charities Archdiocese of Oklahoma City: You can donate $10 or more via their website at https://ccokc.ejoinme.org/?tabid=406485. You’ll have the comfort of knowing that over 98-99% of your donation goes straight to those affected.

Red Cross: You can send a $10 or larger donation to the Disaster Relief fund via text message by texting the word REDCROSS to 90999. The donation will show up on your wireless bill. You can also call 1-800-RED CROSS or visit www.redcross.org/charitable-donations.

Salvation Army: You can text the word STORM to 80888 to make a $10 or larger donation via phone. If you want to send a check (in any amount), make it out to “Oklahoma Tornado Relief” and mail it to The Salvation Army, P.O. Box 12600, Oklahoma City, OK, 73157.

United Way of Oklahoma: You can make donations to its Disaster Relief Fund online at www.unitedwayokc.org. Or you can send a check with the notation “May Tornado Relief” to the United Way of Central Oklahoma, P.O. Box 837, Oklahoma City, OK, 73101.

Of course, any amount, large or small, will be warmly appreciated by everyone on the scene. And if each of our readers gives just $10, it could add up to a very large donation of urgently-needed dollars for the victims of this disaster.

Godspeed Oklahoma. We are with you.

Lee, Jeremy and the JL Davis Team**


Market Week: June 3, 2013

The Markets

Whether it was "sell in May, go away" sentiment finally showing up or concern that the Fed might be closer to winding down economic support, investors decided to take profits last week, especially in the large, dividend-paying stocks of the Dow and S&P 500. As anxiety about potential future Fed action continued to build, the 10-year Treasury yield saw gains for the fifth straight week, hampering bond prices

Last Week's Headlines

•The U.S. economy grew 2.4% during the first quarter of 2013--a fraction less than the Bureau of Economic Analysis's 2.5% initial estimate but still an improvement from the previous quarter's 0.4%. Increases in business inventories and exports were slightly less than anticipated.
•Home prices in the 20 cities measured by the S&P/Case-Shiller Index were up 10.9% from a year earlier. That was the strongest annual growth since 2006, and it put prices back at late 2003 levels. March was the third straight month in which all 20 cities saw gains, and 12 of the cities saw double-digit growth, with Phoenix, San Francisco, and Las Vegas all above 20%.
•American spending declined 0.2% in April, in part because of lower car-related purchases and energy costs, according to the Bureau of Economic Analysis. Lower rents and farm earnings cut personal incomes 0.1% during the month, though wages were up slightly, and the savings rate remained at 2.5%.
•Federal prosecutors charged a Costa Rican digital currency exchange with enabling global cybercriminals to use its system to launder the proceeds of a variety of illegal activities. The charges allege that more than a million anonymous customers used Liberty Reserve's virtual exchange to transfer more than $6 billion internationally since 2006.
•Freddie Mac said the interest rate on a 30-year fixed-rate mortgage hit 3.81%, its highest level in a year, while the 15-year rate rose to 2.98%.
•Unemployment in the 17-nation eurozone hit a new record of 12.2% in April, according to the European Union's statistical office. Inflation, while up slightly at 1.4%, remained well within the European Central Bank's 2% target.

Eye on the Week Ahead

Jobs and central bankers are expected to be the focus of the week. Given the unemployment rate's importance to future Fed actions, Friday's release will be of more than usual interest if there are any substantial changes. And given Europe's unemployment situation, investors will watch to see if the European Central Bank cuts interest rates on Thursday.

Key dates and data releases: U.S. manufacturing, construction spending (6/3); auto sales, balance of trade (6/4); U.S. services sector, business productivity/costs, factory orders, Fed "beige book" report (6/5); unemployment/payrolls (6/7).

Data sources: Includes data provided by Brounes & Associates. All information is based on sources deemed reliable, but no warranty or guarantee is made as to its accuracy or completeness. Neither the information nor any opinion expressed herein constitutes a solicitation for the purchase or sale of any securities, and should not be relied on as financial advice. Past performance is no guarantee of future results.

The Dow Jones Industrial Average (DJIA) is a price-weighted index composed of 30 widely traded blue-chip U.S. common stocks. The S&P
500 is a market-cap weighted index composed of the common stocks of 500 leading companies in leading industries of the

U.S. economy. The NASDAQ Composite Index is a market-value weighted index of all common stocks listed on the NASDAQ stock exchange. The Russell 2000 is a market-cap weighted index composed of 2000 U.S. small-cap common stocks. The Global Dow is an equally weighted index of 150 widely traded blue-chip common stocks worldwide. Market indexes listed are unmanaged and are not available for direct investment.

Prepared by Lee Davis** and Broadridge Investor Communication Solutions, Inc. Copyright 2013