From: Jeffrey M Matusow

From: Jeffrey M Matusow To: Jeevacation <jeevacation®gmail.com> Subject: **GS stock strength - shrs up 1.4% and is the second best performing stock in the sp500 Date: Tue, 25 May 2010 17:04:11 +0000 Goldman up $3 today - a few bullet points on why from my trading desk below. GS strength - • technically - is holding the —$140 level pretty well (this was support last May-Jul) shrs have bounced in the high $130s for last —week and held • settlement spec w/SEC - this was out Fri morning (although recall the WSJ late on Fri said a settlement wasn't close) • regulators not pursuing criminal charges against AIG (this was out late Fri/sat) helping take away tail risk for GS (recall the SEC charges are civil ....the WSJ reported a few weeks back that the Manhattan's DA office was looking into the charges on criminal grounds but the fact charges not being pursued against AIG helping sentiment) • optimism that conferencing process will take some of the rough edges off the Dodd bill (Frank was on the tape this morning saying the Lincoln bill goes too far) • recall GS was an aggressive buyer of their own stock in Q1 - from the Q1 conf call: " the Firm repurchased 13.2 million shares for approximately $2.3 billion. 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