Friday erased much of the month's record run. The Nasdaq dropped 4.2%, its worst session since April 2025, while the S&P 500 lost 2.6%. The trigger was a stronger-than-expected report showing the economy added 172,000 jobs in May, which pushed the 10-year Treasury yield above 4.5% and the 30-year past 5%, reviving fears the Fed may hold, or even hike, rather than cut. Chips bore the brunt, with Marvell and Micron plunging about 16% and 13%, and Intel and AMD losing around 11%.
For anyone financing capex or carrying floating-rate debt, the cost of money just grabbed the market's attention again.
Sources: CNN Business, Trading Economics.
