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Friday, June 9

9th Jun - UK's May loses majority, stocks at ATH





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EUROPE
ECB: first (hawkish) move since 2011 – Pictet
Draghi Is Right to Hold Out for Wage Growth – BB

  UK ELECTIONS
Hung parliament adds government risk premium to GBP – Danske Bank
Hung parliament raises Brexit risks – ABN AMRO
May Fights to Remain U.K. Premier After Election Debacle – BB
Theresa May's Biggest Mistake – BB
EU Turns Schadenfreude Up to Maximum After May Election Disaster – BB


UNITED STATES
FOMC preview: A June hike very likely – balance sheet run-off imminent? – Nordea
Comey Leaves Trump Under a Crippling ‘Cloud’ of Investigations – BB


REGULARS
Morning Report APACTF
Sterling slumped as much as 1.9% as early results pointed to a poor showing for Theresa May's Conservative Party.

FirstFT Daily BriefingFT
UK hung parliament, Qatar and Trump, ‘self-talk’

WSJ CityWSJ
What a Hung Parliament Means; EU Signals No Government, No Talks; Analysts Eye Tough Time Ahead for the Pound

Danske DailyDanske Bank

Eye-OpenerNordea
UK election leads to hung parliament, May set to lose her majority * Comey calls Donald Trump dishonest, but doesn’t deliver a smoking gun * Slightly dovish market interpretation of the ECB meeting

Morning MarketsTF
Britons have done it again and this time from the left. The Tories failure to seize a majority reflects UK voters' alienation from the political centre. The Brexit negotiations are now in a cloud of doubt as the shape and form of the country's next government is unknown; the pound once again is in free-fall.

From the FloorTF
In a stunning backfiring of prime minister Theresa May's strategy, the British Conservative Party failed to win a majority in Thursday's election, leaving the UK with a hung parliament and a weak hand to negotiate Brexit. The pound fell sharply on the Tories' election humiliation, and GBP could be in for further losses as the election outcome creates huge uncertainty.

Daily Market CommentMarc Chandler
Sterling Shocked, Dollar Broadly Firmer

Brussels PlaybookPolitico
May-hem as UK election backfires on May, ends in hung parliament — What it means for Brexit

Five Things You Need to Know to Start Your DayBB
Mayhem in UK * Comey bombshell * Markets ignore May * Brazil

10 things you need to know before the opening bellBI

US OpenZH
S&P Futures At Record High After "Shocking" UK Election Result

FrontrunningZH

FX Update TF
Sterling weakened sharply the instant the exit poll was released last night and looks soft this morning as the result merely extends the painful uncertainty of how the Brexit negotiations will shape up. Elsewhere USD ticks up after Comey testimony and dovish Draghi keeps EURUSD subdued.


FINNISH
AamukatsausNordea
Taas yllätys Briteissä: Konservatiivit menettivät enemmistönsä * Punta laskussa * EKP muutti ohjeistustaan