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September 7th, 2010

Concerns about Allied Irish Bank, and non-stressed, Euro zone stress tests has put European debt risk on the front burner. Euro zone financing fears has widened out spreads between European sovereigns. Overseas sell off in equities overnight had led to pressure on the US Stock indexes.

US Treasury bonds face a calendar of 3’s, 10, and 30’s in a holiday shortened week. Fixed income investors will greet slightly higher yields monthly. Economic calendar is light and focus will be on D.C.

Congress comes back into session next week and political rhetoric will be heightened going into the November mid-term elections.

Center graph shows the movement in the USD vs. the Euro over the past three months.

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The research and other information provided herein has been prepared for informational purposes only and is not an offer or solicitation to purchase or sell securities. Performance Trust Capital Partners (Performance Trust) may make a market, or have a position in the securities discussed herein and may purchase or sell the same on a principal basis or as an agent. Investing involves risks, including the potential for principal loss. There is no guarantee that the strategies and services will be successful or outperform other strategies and services. Investing in bonds includes assumption of risks, including rising interest rates to decrease the value of bonds. Certain assumptions may have been made in connection with the analysis presented herein, and changes to the assumptions may have a material impact on the analysis or results. Past performance is no guarantee of future results. The investments discussed herein may be unsuitable for investors depending on their specific investment objectives and financial position. Investors should independently evaluate each investment discussed in the context of their own objectives, risk profile and circumstances. With respect to the information contained herein that has been obtained from public sources, while Performance Trust believes this information to be reliable, Performance Trust does not guarantee its accuracy, adequacy or completeness and is not responsible for any errors or omissions or for the results obtained from the use of such information.

 
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