WS #9070

The dominant signal in this window is the stronger-than-expected May jobs report (NFP +172k vs +85-88k est., with upward revisions), which has triggered a sharp repricing of Fed rate expectations. The dollar strengthened, gold crashed to $4,350, and the 2Y UST yield rose to 4.16%, pressuring duration-sensitive tech/AI stocks. Citi's Bear Market Checklist hit its highest since the 2008 financial crisis, and the chips sell-off (Broadcom-driven) threatens Wall Street's winning streak. NVDA is down 10% from its Wednesday high, and a director sold $221M in NVDA stock. Meanwhile, the US-Iran conflict remains elevated: Iran fired at US destroyers in the Persian Gulf, the US issued new Iran-related sanctions, and the Strait of Hormuz disruption continues, with Fitch calling it a temporary logistics shock. Putin's SPIEF speech showed no willingness to meet Zelenskiy, keeping Ukraine peace talks stalled. SpaceX IPO is oversubscribed but S&P 500 denied fast-track inclusion. The Clarity Act faces Senate hurdles. ISS astronauts were ordered to shelter due to air leaks, but this is non-market. The prevailing macro narrative is 'rates higher for longer' pressuring growth/tech, while energy remains supported by geopolitical risk.