Jobs Boom Nukes the Rally: Nasdaq Posts Worst Day in a Year as Rate Hike Bets Surge

The week Wall Street got exactly what it wished for and immediately regretted it. May nonfarm payrolls printed 172,000 — a blowout — unemployment held at 4.3%, and the market's response was to absolutely lose its mind. The Nasdaq 100 fell ~4%, its worst single day since April 2025. The Philadelphia Semiconductor Index cratered over 9%. $AMD dropped 8.8%, $MU fell 9%, and $AVGO took a ~14% hit on the week after Q3 AI guidance of $16 billion came in below the $17.2 billion consensus. The bar was high. Broadcom tripped over it.

Meanwhile, $BTC is down roughly 50% from its $126K peak to around $60,000, with the average ETF holder sitting at an ~$83K cost basis — firmly underwater. Ray Dalio called the US debt situation 'past the point of no return' on Bloomberg. Ed Yardeni, ever the optimist, called Friday's carnage 'healthy' and reiterated his S&P 8,000 target. And SpaceX quietly filed a $75 billion IPO at $135/share targeting a $1.75 trillion valuation — already oversubscribed — making it the largest IPO in history before it's even priced.

Rotation was the only trade that worked: $CMG popped 4%+ on a JPMorgan upgrade, Macy's posted its strongest Q1 in four years, and healthcare held firm. Sometimes the best week is the one where you owned the boring stuff.