Today's Headlines

Bloomberg: 

• Closed Shorts, Good Defense Carry S&P 500 to Best Week Since ’15. Every precaution taken against disaster by U.S. investors in 2016 was on display in the stock market this week. Short sales that earlier reached the highest level since the financial crisis were covered, while bearish options bets were closed. Meanwhile defensive industries such as consumer staples and utilities powered the S&P 500 Index to its best week in seven months. When it was over, the two-day trauma that followed U.K. voters’ decision to secede from the European Union was all but erased. The S&P 500 surged 3.2 percent to 2,102.95, including three consecutive daily gains of more than one percent, something that’s happened only two other times since October 2011. At Friday’s close, the index was less than half a percent from its level before the U.K. referendum.
• 20 Hostages Killed, 13 Saved in Bangladesh Restaurant Attack. The hostages were given a test: recite verses from the Quran, or be punished, according to a witness. Those who passed were allowed to eat. Those who failed were tortured and slain. The dramatic, 10-hour hostage crisis that gripped Bangladesh's diplomatic zone ended Saturday morning with at least 28 dead, including six of the attackers, as commandos raided the popular restaurant where heavily armed attackers were holding dozens of foreigners and Bangladeshis prisoner while hurling bombs and engaging in a gunbattle with security forces. The victims included 20 hostages, mostly foreigners, and two Bangladeshi police officers.
• Australia Sinks Into Limbo as Voters Erase Turnbull Majority. Australia’s Prime Minister Malcolm Turnbull said he was confident of forming a majority government, even as a national election failed to deliver a clear winner and counting won’t be completed until later this week. “This is a time where we must come together,” Turnbull told cheering supporters in central Sydney early Sunday, as the outcome hung on a handful of marginal seats. “We can succeed, because without that, my friends, there is a road to debt, to deficit, higher taxes and stagnation.”
• Clinton Says Knows of No Timeline to Wrap Up FBI E-Mail Inquiry.

Barron's:

• Had bullish commentary on (GS), (MS), (C) and (LUV).

Zero Hedge:

• Kyle Bass Shares The "Stunning" Thing A Central Banker Once Told Him.
• Hillary Cracks, Gives FBI A "Voluntary" Three Hour Interview Over Private Email Server.
• U.N. Official 'Accidentally' Crushes Own Throat Right Before Testifying Against Hillary Clinton.
• All Eyes Now Turn To FBI Director Jim Comey In Clinton Investigation.
• This Is What Loretta Lynch Said When Cornered About Her Clinton Meeting. (video)
• More 'Transitory' Non-flation: Child Care Costs Are Soaring.
• "Our Monetary Humpty-Dumpty Is Heading For A Great Fall" - Teetering On The Eccles Building Wall.
• US' Largest Private Coal Miner To Layoff 80% Of Staff Due To "Obama's Ongoing Destruction".
• "Off The Rails" - What Slumping Rail Traffic Tells Us About The U.S. Economy. (graph)
• CLSA Reminds Everyone: The Economy Was Struggling Long Before Brexit.
• "The Loss Of Central Bank Credibility Is The Biggest Tail Risk" BofA Warns Brexit Threat Remains. 
• Hedge Funds No Longer Have Any Idea How To Trade This Market.
• Price To Sales Ratio – Another Nail In The Market's Coffin? (graph)
• "This Is The Capitulation Phase" - Why Treasury Yields Are About To Really Plunge.
• Something "Unexpected" Happened After Starbucks Raised Minimum Wages.
• "EU Wants An Empire" - Brussels Plans To Expand Into Middle East, Africa.
• Brexit & The Crisis Of Capitalism.
• ISIS Mastermind Behind Istanbul Terrorist Attack Was A "Refugee" Protected By Europe.
• Price Discovery - R.I.P.!
• Obamacare Enrollment Drops To 11.1 Million, Government Calls It "Sign Of Success".
• What Risk? Post-Brexit VIX Crash Is Greatest Ever. (graph)
• Weekend Reading: Bre-lief?
• Breuphoria - Stocks Explode Higher On Biggest Short Squeeze In 7 Years. (graph)

Business Insider:

• British leadership contender says the UK could leave the EU by next year.
• 20 hostages killed in Bangladesh attack claimed by ISIS.
• Here's who is going to get crushed by the coming 'tsunami' in the debt market.
• This is what ISIS' longest-held city looks like after years of occupation. 
• Oil could crash to $10 a barrel.
• The world's economic 'canary in the coal mine' faces a growing threat.
• The new 'sick man' of Europe.
• A hedge fund darling imploded — and now everyone has one question.
• GOLDMAN(GS): We're entering 'the late stages' of this cycle.
• The amount of cash corporate America is dishing to investors sends a scary signal about the stock market's future.

Financial Times:

• Push for higher wages squeezes US corporate profits. McDonald’s and Walmart caught between workers’ demands and investor concern.
  

The Telegraph:

• Economic stimulus is putting profits of Europe's banks at risk, warns ECB.