A Federal Reserve rate hike on June 14 probably hinges on Friday's jobs report. Unless it's significantly weaker than forecast, interest rates are likely going up. Coming as Fed tightening via a shrinking balance sheet is about to dry up liquidity after the debt-ceiling deal, higher rates could squeeze the life out of the current S&P 500 rally. As of Wednesday morning, markets are pricing in over 60% odds of a quarter-point Fed rate hike to a range of 5.25%-5.5%. That would be the highest since 2001. Yet there's some reason to think that the May jobs report may be soft enough to give the Federal Reserve pause. ... (full story)