“Genuinely Scary Moments Are Ahead,” One Trader Warns

On Monday, I explained why I like my term structures kinky. Europe is trying - bless its heart - to price in political risk associated with the trio of big elections this year, but it's hard to price something so indeterminate. As I've noted, the VSTOXX term structure has a notable kink... (Goldman) ...and French and Dutch spreads to bunds are widening... (Citi, BofAML) But is this enough? That is, are markets accurately appraising the risk here? According to FX trader turned Bloombe