News Releases

Harris Private Bank Market Outlook: U.S. Manufacturing Rebounds

CHICAGO, IL (May 3, 2012) - In his most recent market update , Harris Private Bank's Jack Ablin comments on the rebound taking place in U.S. manufacturing. Based on The Institute of Supply Management's factory index, the rebound in manufacturing helped push the Dow up more than 100 points and factory employment has hit a 10-month high.

According to Mr. Ablin, the three factors helping propel U.S. manufacturing are as follows:

Favorable labor costs - With wages in the manufacturing industry having flat lined for the past ten years, the cost of American factory workers are at least 20 percent cheaper in real terms compared to 2002

Attractive currency levels - The U.S. dollar has been off about 35 percent on a trade weighted basis since 2009, creating another reason to hire American workers

Cheap natural gas - Due to the improvement in drilling technology, abundant supplies of domestic natural gas give the U.S an enormous cost advantage

"As the U.S. economy continues to turn the corner, the manufacturing sector is playing a key role in its recovery," said Jack Ablin, Executive Vice President and Chief Investment Officer, Harris Private Bank. "We expect this trend in manufacturing to continue, even in the face of moderating economic winds abroad."

About BMO Financial Group
Established in 1817 as Bank of Montreal, BMO Financial Group is a highly-diversified North American financial services organization. With total assets of $538 billion as of January 31, 2012, and more than 47,000 employees, BMO Financial Group provides a broad range of retail banking, wealth management and investment banking products and solutions.

Harris Private Bank is a trade name used by various financial service providers of BMO Financial Corp. BMO and BMO Financial Group are trade names used by Bank of Montreal. The information and opinions expressed are based on sources believed to be reliable, but are not represented as complete. Opinions expressed are current as of the date of this release and are subject to change.

BMO Harris Bank is a trade name used by BMO Harris Bank N.A. Banking deposit and loan products and services are provided by BMO Harris Bank N.A. Member FDIC. Brokerage products are offered through Harris Investor Services, Inc. (HIS), a registered broker/dealer, member FINRA/SIPC, and SEC-registered investment advisor. Insurance products are offered through Harris Bancorp Insurance Services, Inc. (HBIS). Investment banking services are provided by BMO Capital Markets Corp. (BMOCMC) and BMO Capital Markets GKST, Inc. (GKST), a Municipal Bond Dealer and member FINRA and SIPC. Financial planning and investment advisory services are provided by Sullivan, Bruyette, Speros & Blayney, Inc. (Harris SBSB), an SEC registered investment advisor. Family Office Services are provided by Harris myCFO, Inc. Investment advisory services are offered by Harris myCFO Investment Advisory Services LLC (Harris myCFO), an SEC-registered investment advisor and wholly-owned subsidiary of Harris myCFO, Inc. Stoker Ostler Wealth Advisors (Stoker Ostler) is an SEC-registered investment advisor. Investment advisory services to institutional clients are provided by Harris Investment Management (HIM) or its wholly-owned subsidiary HIM Monegy (Monegy), SEC-registered investment advisors. Products offered by HIS, HBIS, BMOCM, Harris SBSB, Harris myCFO, Stoker Ostler, HIM, and Monegy, which are affiliated companies and wholly owned subsidiaries of BMO Financial Corp.,: Are not insured by the FDIC or any Federal Government Agency, not a deposit of or guaranteed by any Bank or Bank Affiliate, may lose value. The purchase of insurance or an annuity is not a condition to any bank loan or service. Not all products and services are offered in every state and/or location.