Epstein Secrets

ther 'fish hook' earnings season The Hulk vs the Amazing Euro Hero: Has the Euro found bottom at $1.10? Got your 2H sector strategy ready> Consider Utilities over regional Banks Yellen keeps equities on bullish path Bullish d dollar and yields settle here Dear Fed, avoid 1994 by hiking in Sep IC themes

cheap stocks left: But what if the yield curve goes flat> 2015's S&P 500 tug-of-war intensifies: Dimmer EPS vs brghter PE outlook The Hulk flexes, S&P EPS shrinks Is S&P ready for Fed hikes) 10 FAOs Reaching for small caps. selecuvehn Prefer small Retailers vs. small Banks Tech Titans can overcome th

ther 'fish hook' earnings season The Hulk vs the Amazing Euro Hero. Has the Euro found bottom at SI 10> Got your 2H sector strategy ready? Consider Utilities over regional Banks Yellen keeps equities on bullish path Bullish if dollar and yields settle here Dear Fed, avoid 1994 by hiking in Sep 10 theme

cheap stocks left But what if the yield curve goes fat? 2015's S&P 500 tug-of-war intensifies: Dimmer EPS vs. brighter PE outlook The Hulk flexes, S&P EPS shrinks Is S&P ready for Fed hires?. 10 FAOs US equity strategy 2016 Outlook • char/Ivor puiecorwir — °MICA@ Bent Date 1-Feb-16 24-Jan-16 18

ther 'fish hook' earnings season The Hulk vs the Amazing Euro Hero. Has the Euro found bottom at SI 10> Got your 2H sector strategy ready? Consider Utilities over regional Banks Yellen keeps equities on bullish path Bullish if dollar and yields settle here Dear Fed, avoid 1994 by hiking in Sep 10 theme

cheap stocks left But what if the yield curve goes fat? 2015's S&P 500 tug-of-war intensifies: Dimmer EPS vs. brighter PE outlook The Hulk flexes, S&P EPS shrinks Is S&P ready for Fed hires?. 10 FAOs US equity strategy 2016 Outlook • char/Ivor puiecorwir Sant Detesr.A. Ewa Date 1-Feb-16 24-Jan-16

0% Financials 100.0% Health Caro 95.8% Industrials 99.4% Information Technology 99.1% Materials 100.0% Telecommunication Services 100.0% Utilities 100.0% Sows MSS Owns'sSink 487 402 446 422 8ot,S$STtiti EPS (% of of cal % beat % miss EPS surprise I%) EPS W./ rid Sales 1% of co's/

uity Insights 10 EPS tracker: Good EPS beats, lots of sales misses; sales down y/y, but margin expansion helped EPS up y/y 487 companies or 98% of S&P EPS reported. Wok beat on EPS with a wtd avg beat of 6.2% (6.7% ex Fin), but only 32% beat on sales with a wtd avg miss of -1.0% (-1.4% ex Fin). The wt

and Industrials worry us a great deal. Most of the rest of the market, both the S&P and the Russell 2000, seem fully valued except a few big Banks, Utilities, Airlines, and some of our specific stock picks. EFTA01476108 Fortunately, Health Care and Tech represent 35% of the S&P 500. These two sectors d

ed by Health Care and big consumer oriented Tech firms. We expect growth to slow at these two S&P segments, but remain key growth drivers. II2016E S&P EPS of $125 is up 5% on 4% sales growth, flat margins and 1% share shrink. Sales should turn positive in 2016 as commodity and currency drags diminish

(China —5%) A continued profit recession, Foreign Cons Disc Cons Staples Energy Financials Health Care Industrials Tech Materials Telecom Utilities S&P 500 per share Avg oil price Euro Avg FF rate US UE yr end US GDP Global GDP Source: Deutsche Bank Sales % Profits % 27% 28% 41% 18%

8 to $125 on stronger dollar, lower oil assumptions We have long cautioned that every 10% appreciation in the dollar vs. mature currencies drags on S&P EPS growth by 2.5%. Every dime the Euro declines vs. USD hits S&P EPS by $1. Every $5/bbl oil price decline hits S&P EPS by $1, net of small benefits

ng 20% Leading and gaining Energy Telecom Health Care Cons. Staples Lagging and slipping -15% -10% Source: Deutsche Bank, Thomson Reuters Utilities -5% 0% YTD Total Return 5% 10% Leading but slipping 15% Cons. Disc. Page 42 Deutsche Bank Securities Inc. MTD Total Return 3 Month Total

heap stocks left: But what if the yield curve goes flat? 2015's S&P 500 tug-of-war intensifies: Dimmer EPS vs. brighter PE outlook The Hulk flexes, S&P EPS shrinks Is S&P ready for Fed hikes?: 10 FAQs Reaching for small caps, selectively: Prefer small Retailers vs. small Banks Tech Titans can overcome