BETWEEN THE HEDGES: Today's Headlines

Bloomberg:

Currency Tranquility Is Calm Before Storm as Risks Taunt Traders. It’s all quiet in currency markets, a little too quiet for some traders who warn that an uptick in volatility is just around the corner. Price swings in global exchange rates slid to the lowest since January this week, according to a JPMorgan Chase & Co. index. A three-month measure of dollar volatility versus the euro tumbled to the least since December 2014 while a gauge against the yen fell to a two-month low. That tranquility, which comes before holiday weekends in the U.S. and U.K., isn’t likely to persist. Event risk stemming from Britain’s vote on EU membership to Federal Reserve meetings to the U.S. presidential election threaten to roil currencies around the world. Increasing correlation between gauges of risk has meant that when one measure falls, others also tend to do so too, according to Kit Juckes, a London-based strategist at Societe Generale SA. “There’s a very fine line for this calm period in markets that you see with low volatility, a slightly softer dollar and everything’s OK,” Juckes said in an interview on Bloomberg Television. “A bumpy summer seems to me to be quite a high risk still.”
Bond Traders Say Don’t Count Out June Hike After Yellen Remarks. Treasuries traders who delayed holiday getaway plans on Friday took away a clear message from Federal Reserve Chair Janet Yellen -- a mid-year interest-rate hike may be on the way. Yellen’s remark that the Fed will raise rates "probably in the coming months" drove benchmark two-year note yields higher for a third consecutive week. The comments at an afternoon appearance at Harvard University followed those from other Fed officials who signaled that the Federal Open Market Committee’s June 14-15 meeting is "live.” The market-implied probability of a rate increase next month has risen to 30 percent, from 12 percent at the end of April. For the following meeting, in July, the chances exceed 50 percent. The shift in sentiment shows traders may be giving more credence to the Fed’s projection of two more rate boosts this year, after policy makers lifted their overnight benchmark from near zero in December. “June is certainly still live,” said Aaron Kohli, a fixed-income strategist in New York at BMO Capital Markets, one of 23 primary dealers that trade with the Fed. "She’s joining the rest of the FOMC -- ready to go in the coming months. Yields really do need to reprice higher materially."
Sanders in California Says Clinton E-Mail Situation Has Changed. The Senator demands Barney Frank, Dannel Malloy be removed from key Democratic committee roles.

Wall Street Journal:

The Senate GOP’s Trump Survival Plan. The challenge: Distancing themselves from Trump without alienating voters who like or despise him. One offsetting advantage: the Hillary effect.

Barron's:

Had bullish commentary on (CAG), (JLL) and (AMGN).
Had bearish commentary on (BF/B).

Fox News:

California Vietnam War memorial to the missing vandalized.

CNBC:

Inside Wealth: A Worrisome Pileup of $100 Million Homes.
Fade the oil bounce — here's why: Technician.
Bridgewater secures $22m in state aid. The world’s biggest hedge fund has secured $22 million of financial assistance from the government of Connecticut, in the latest sign of stretched US states vying to retain their wealthiest taxpayers and prevent jobs moving elsewhere.