Recusal? Loretta Lynch 'Removes' Herself From FBI Probe Of Hillary Emails

Under increasing pressure to formally recuse herself from the Hillary Clinton email probe, following the exposure of her shockingly ill-advised one-on-one with Bill Clinton, Loretta Lynch has come out with a statement as close to 'recusing herself' - admitting cause - as is legally possible, in effect removing herself from the investigation's findings. Lynch announced that she "expects to receive and accept the determinations and findings of the Department's career prosecutors and investigators," in the email probe.

Silver Breaches Key Resistance, Soars To 21-Month Highs Against Gold

Silver is up over 11% in the last 6 days (the most since Aug 2013) since Britons decided to leave the sinking ship, pushing the white metal above the key $19.50 level - back to its highest since September 2014. Gold has been in great demand also, heading for its 5th straight weekly gain after its best start to a year since 1980 as one analyst noted "gold will remain one of the major beneficiaries in the current backdrop, as heightened volatility and lingering uncertainty will keep investors' risk appetite in check." Silver's recent surge has seen it play catch up to gold, now back at its 'richest' to gold since September 2014.

Austrian Court Orders Rerun Of Presidential Election After Finding "Widespread" Voting Fraud

Austria’s Constitutional Court ordered a rerun of the runoff round of country’s presidential election, giving Freedom Party candidate Norbert Hofer a second chance of becoming the first right-wing populist head of state in postwar Western Europe. The court found law violations in “many districts” in how the May 22 second-round vote was carried out.

Explaining Social Anger, Brexit, Donald Trump In One Chart

Voters are angry. Donald Trump, Marine Le Pen, Nigel Farage, UKIP, and the AfD party in Germany have all been accused of stirring up anger and hatred. But anger is not the problem. None of those individuals or political parties are the problem. Income inequality, the shrinking middle class, angry voters, and the rise of extreme political parties are all symptoms of the real problem: Central banks and their inflationary policies.

Stocks Near All Time High Despite 16 Straight Week Of US Mutual Fund Outflows, Historic "Redemption Day"

The new normal sure is strange: with the S&P flirting with all time highs, not to mention staging another dramatic V-shaped comeback from the post-Brexit crash which saw S&P futures trade limit down a week ago, investors keep on selling. According to Lipper data, U.S.-based stock mutual funds, which are held by retail mom-and-pop investors, posted cash withdrawals of $2.8 billion over the weekly period ended Wednesday; this was the 16th consecutive week of outflows.

Puerto Rico Defaults On $2 Billion In Debt Payments

As expected, Puerto Rico will default on about $2 billion in debt payments Friday, including $780 million in constitutionally-backed general obligation bonds, as governor Alejandro Garcia Padilla has issued an executive order authorizing the suspension of payments. In addition, Garcia Padilla also declared states of emergency at the island's biggest public pension - the Commonwealth's Employee Retirement System - which is more than 99% underfunded.

Frontrunning: July 1

  • Bond yields sink as central banks head for easier policy (Reuters)
  • PM hopeful Gove says UK leader must believe in Brexit (AP)
  • U.K. Can’t Bank on EU’s Rationality in Talks (WSJ)
  • Gove Makes Case for U.K. Premiership After Johnson Betrayal (BBG)
  • ECB not debating abandoning capital key in QE buys (Reuters)

Futures Stumble As Global Bond Yields Drop To All Time Lows, Precious Metals Spike

Whether it is due to the conclusion of quarter-end window dressing, or due to a more poor manufacturing data out of China overnight, but the new quarter is starting off poorly for risk with Europe flat and US equities lower, while the scramble for safety means that bond yields across the developed world just hit new all time lows as precious metals are surging once again on ongoing speculation central banks will do anything to keep markets propped up and buy up even more assets.

US Treasury Yields Hit New Record Lows

Finally. With bond yields across the rest of the developed world already making new record lows every day, only the US had so far refused to take out all time lows set back in 2012. That finally changed overnight when the 10Y Treasury dropped -9 bps to 1.3784%, while the 30Y declined by the same amount, sliding as low as to 2.1914%.

If The UK Economy Tanks, Don't Blame Brexit

Last Thursday, the people of Britain voted in a referendum to leave the European Union (EU). Most commentators view Britain’s exit (“Brexit”) from the European Union as bad news for economic growth in the UK and the eurozone. As a result, it is argued, the growth rate in the rest of the world will be also badly affected. It is more likely that, whether the pace of real economic growth over time will weaken or strengthen is going to be set by the pace of expansion in the pool of real wealth.

Italy Granted "Extraordinary " €150BN Bank Bailout Program To Prevent "Panic, Run On Deposits"

The European Commission has authorized Italy to use government guarantees to create a precautionary liquidity support program for their banks, a spokeswoman for the European Union’s executive arm said, adding that the program was approved under the bloc’s "extraordinary crisis rules for state aid." Prime Minister Matteo Renzi hoped to use a liquidity backstop to contain investor panic, which could result in a run on deposit and affect banks’ liquidity.