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April 6, 2012

Economic & Market news GS & Co.1


ISM Manufacturing Index increased to 53.4 in March, from 52.4 in February. The consensus had expected a slightly smaller increase. ISM Non-manufacturing Index declined to 56.0 in March, from 57.3 in February, a slightly larger drop than consensus had expected. FOMC Meeting minutes from March make easing at April meeting unlikely without substantial deterioration in the outlook. However, an announcement of additional asset purchases remains our baseline, with June the most likely timing at this point. Unemployment rate fell from 8.3% to 8.2%, driven by a drop in labor force participation. Initial jobless claims eased to 357k, from a revised 363k, a touch worse than consensus expectations.
Upcoming Economic Releases 1 Date Indicator Thursday (4/12/12) Friday (4/13/12) PPI (Mar) Ex Food & Energy CPI (Mar) Ex Food & Energy Forecast GS & Co. +0.14% +0.18% +0.25% +0.18% Consensus +0.3% +0.2% +0.3% +0.2% Previous +0.4% +0.2% +0.4% +0.1%

Index Returns2 (as of 4/6/2012) S&P 500 MSCI EAFE (USD) MSCI EME (USD) MSCI BRIC (USD) Barclay s Aggregate Barclay s US High Yield JPM Glbl. Div ersified S&P GSCI GS ART Index 1 Week -0.30% -3.00% -0.41% -0.49% 0.56% 0.03% 0.00% 0.06% -0.51%
2

MTD -0.67% -3.00% -0.41% -0.49% 0.56% 0.03% 0.00% 0.06% -0.51%

QTD -0.67% -3.00% -0.41% -0.49% 0.56% 0.03% 0.00% 0.06% -0.51%

YTD 11.83% 7.67% 13.52% 13.30% 0.86% 5.36% 4.25% 5.95% 2.49%

Bond Rates2 Fed Funds Target 3-Month Libor 2-Year Treasury 10-Year Treasury 2-10 slope HY Corp. spread (bps) 4 IG Corp. spread (bps) EMD spread (bps) LEMD spread (bps)

4/6/12 0.25% 0.47% 0.32% 2.06% 1.74% 603 181 335 349

3/30/12 0.25% 0.47% 0.33% 2.21% 1.88% 592 176 330 342

12/30/11 0.25% 0.58% 0.24% 1.88% 1.64% 733 234 404 426

12/31/10 0.25% 0.30% 0.60% 3.30% 2.70% 561 156 274 289

10-Yr Sovereign Debt2 US Canada Japan UK Germany Australia France Italy Portugal Spain Ireland
5

4/6/12 2.06% 2.13% 0.99% 2.16% 1.74% 4.03% 2.99% 5.45% 12.24% 5.76% 6.86% 21.80%

3/30/12 2.21% 2.11% 0.99% 2.20% 1.79% 3.98% 2.89% 5.12% 11.53% 5.35% 6.85% 21.08%

12/30/11 1.88% 1.94% 0.99% 1.98% 1.83% 3.67% 3.15% 7.11% 13.36% 5.09% 8.43% 34.96%

12/31/10 3.30% 3.12% 1.13% 3.40% 2.96% 5.55% 3.36% 4.82% 6.60% 5.45% 8.87% 12.47%

Commodities Oil ($/barrel) Gold ($/oz)

4/6/12 $103.31 $1,636.43 $3.93 $8,362.50 $646.25


4/6/12 $1.3096 $1.5871 CHF 0.9173 MXN 12.9842 CNY 6.3058 81.64

3/30/12 $103.02 $1,668.35 $3.93 $8,448.50 $674.00


3/30/12 $1.3343 $1.6008 CHF 0.9025 MXN 12.8107 CNY 6.2985 82.87

12/30/11 $98.83 $1,563.70 $3.28 $7,601.00 $671.25


12/30/11 $1.2961 $1.5543 CHF 0.9381 MXN 13.9357 CNY 6.2950 76.91

12/31/10 $91.38 $1,420.78 $3.07 $9,615.00 $820.75


12/31/10 $1.3384 $1.5612 CHF 0.9352 MXN 12.3401 CNY 6.6070 81.12

Gasoline ($/gallon) Copper ($/MT) Wheat ($/bu.)


Currencies2 Euro ($/) Pound ($/) Sw iss Franc (CHF/$) Mex ican Peso (MXN/$) Chinese Yuan (CNY/$) Yen (/$)

Greece

US Equity Size & Style Returns3


M o nt h- t o - D at e
( a s of 4 / 6 / 12 )

10-Year Treasury Note Yields2


Y ear- t o - D at e

S&P 500 Sector Returns: Month-to-Date2 (As of 4/6/2012)


0.1% 0.1%
-0.1% -0.1% -0.2% -0.4%

4.5
4.0 3.5 3.0 2.5 2.0 1.5 4/6/09
High Low Current 3.99 1.72 2.06

Value
-1.35%

Co re
-1.01%

Gro wth
0.57%

Value
Large
6.78%

Co re
11.66%

Gro wth
18.17%

-0.7% -1.2% -1.4% -1.6% -1.8%

Discretionary

Healthcare

Info. Tech.

Industrials

Staples

Utilities

Financials

S&P 500

Materials

Telecom

-1.48%

-1.08%

-1.28%

Small

9.99%

11.81%

11.10%

10/6/09

4/6/10

10/6/10

4/6/11

10/6/11

4/6/12

US Fixed Income Maturity &


M o nt h- t o - D at e

Quality Returns3
Y ear- t o - D at e

S&P 500 Trailing 1-Year Index


1450
Lo ng Intermed.
-0.35%

Levels2
1419.04 1099.23 1398.08

S&P 500 Sector Returns: Year-to-Date2 (As of 4/6/2012)


21.5% 20.1% 15.8% 11.8% 10.0% 9.6% 8.8%

( a s of 4 / 6 / 12 )

Sho rt
0.01%

Intermed.
0.16%

Lo ng
0.47%

Sho rt
Government
-0.08%

1350
-5.71%

High Low Current

5.5%

2.2% 2.0% -2.0%

1250
Discretionary Info. Tech. Healthcare Financials Materials Industrials Telecom S&P 500 Staples Energy
-0.05% 0.01% 0.16%

1150

0.15%

-0.02%

0.09%

High Yield

4.23%

5.13%

7.85%

1050 4/6/11

7/6/11

10/6/11

1/6/12

4/6/12

Past performance is not indicative of future results, which may vary.

Utilities

Corporate

1.97%

3.27%

0.89%

Energy

-0.85%

-1.29%

-0.47%

M id

11.00%

12.15%

14.85%

April 6, 2012

GENERAL DISCLOSURES
The first two paragraphs of the disclosures below do not apply to the information sourced to footnote 1. This information discusses general market activity, industry or sector trends, or other broad-based economic, market or political conditions and should not be construed as research or investment advice. This material has been prepared by GSAM and is not a product of Goldman Sachs Global Investment Research. The views and opinions expressed may differ from those of Goldman Sachs Global Investment Research or other departments or divisions of Goldman Sachs and its affiliates. Investors are urged to consult with their financial advisors before buying or selling any securities. This information may not be current and GSAM has no obligation to provide any updates or changes. The information contained in this presentation is not intended to be used as a general guide to investing, or as a source of any specific investment recommendations. This presentation makes no implied or express recommendations concerning the manner in which any clients account should or would be handled, as appropriate investment strategies depend upon the clients investment objectives.

This presentation is for general information purposes only. It does not take into account the particular investment objectives, restrictions, tax and financial situation or other needs of any specific client. This information does not represent any Goldman Sachs product.
Special risks are inherent in international investing including those related to currency fluctuations and foreign, political, and economic events. The economic and market forecasts presented herein have been generated by Goldman Sachs for informational purposes as of the date of this presentation. They are based on proprietary models and there can be no assurance that the forecasts will be achieved. Economic and market forecasts presented herein reflect our judgment as of the date of this presentation and are subject to change without notice. These forecasts do not take into account the specific investment objectives, restrictions, tax and financial situation or other needs of any specific client. Actual data will vary and may not be reflected here. These forecasts are subject to high levels of uncertainty that may affect actual performance. Accordingly, these forecasts should be viewed as merely representative of a broad range of possible outcomes. These forecasts are estimated, based on assumptions, and are subject to significant revision and may change materially as economic and market conditions change. Goldman Sachs has no obligation to provide updates or changes to these forecasts. Case studies and examples are for illustrative purposes only. Past performance is not indicative of future results, which may vary. The value of investments and the income derived from investments can go down as well as up. Future returns are not guaranteed, and a loss of principal may occur. Opinions expressed are current opinions as of the date appearing in this material only. No part of this material may, without Goldman Sachs Asset Managements prior written consent, be (i) copied, photocopied or duplicated in any form, by any means, or (ii) distributed to any person that is not an employee, officer, director, or authorized agent of the recipient. Indices are unmanaged. The figures for the index reflect the reinvestment of dividends but do not reflect the deduction of any fees or expenses which would reduce returns. Investors cannot invest directly in indices. Although certain information has been obtained from sources believed to be reliable, we do not guarantee its accuracy, completeness or fairness. We have relied upon and assumed without independent verification, the accuracy and completeness of all information available from public sources. 1 Source: Goldman, Sachs & Co. (as of 4/2/2012 4/6/2012)

2 Source: Bloomberg (as of 4/6/2012)


3 Source: Morningstar (as of 4/6/2012) 4 Source: Barclays Live (as of 4/6/2012) 5 The rates indicated here are for the countrys 9-Year note. 2012 Goldman Sachs. All rights reserved. Date of First Use: April 9, 2012 Compliance Code: 67833.OTHER.MED.TMPL/2/2012 Compliance Code: 70945.OTHER.MED.OTU This material has been issued or approved for use in or from Hong Kong by Goldman Sachs (Asia) L.L.C.