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ibtimes.co.ukJUN 56 min read$AVGOBearishMed

Trump Fumes at Nasdaq Plunge, Says Stocks Should Go Up, Not Down After Bumper Jobs Report

President Donald Trump criticized Wall Street after a stronger-than-expected May jobs report triggered a selloff. The BLS said nonfarm payrolls rose 172,000 (vs ~88,000 forecast) and unemployment stayed at 4.3%. Despite the data, the Nasdaq fell 4.18% and the S&P 500 dropped over 2%. Axios/CME FedWatch put year-end rate-hike odds at 67% (from 45%).

AI DeskJune 5, 2026
Source · ibtimes.co.uk
AI analysis
Actionability
Med
Sentiment · $AVGO
Bearish
Timing
after the May jobs report and during the same-session Nasdaq selloff
Market alignment
high risk-off alignment: stronger jobs → higher rate-hike odds → growth/semis pressured
Why this matters for $AVGO

AVGO’s earnings disappointment is a direct catalyst for semis weakness and risk-off pressure on growth/tech.

Relevance context

Article says Broadcom tumbled more than 12% after its earnings disappointed, dragging semis and amplifying the Nasdaq selloff.

Price-impact prediction

Near-term downside bias for AVGO and correlated semis as rate-hike fears intensify.

Background

The BLS May nonfarm payrolls print came in far above forecasts, while the market interpreted it as increasing the likelihood of higher-for-longer rates; the Fed leadership transition (Warsh sworn in 22 May) adds policy uncertainty.

Why it matters

The immediate tradable linkage is: stronger jobs → higher rate-hike odds and higher Treasury yields → valuation pressure on growth/tech; additionally, a semiconductor earnings disappointment (AVGO) deepens the sector drawdown.

Market relevance

This is a macro-driven risk-off tape with a concrete semiconductor earnings read-through (AVGO) that can keep pressure on correlated tech/growth names.

Market effects

Sector

Reinforces a rates-sensitive semiconductor/growth selloff dynamic: strong labor data increases rate-hike odds and compresses valuations.

Regional

Primarily US-focused via Nasdaq/S&P/Dow moves; spillover risk to global tech/semis through correlated positioning.

Global

Higher US yields and rate-hike expectations can transmit to global growth assets and semiconductor supply-chain sentiment.

Alternative perspectives

Contrarian view

If the jobs strength reflects durable demand without runaway inflation, markets may overreact and later rotate back into growth/tech once yield pressure stabilizes.

Overlooked factors

The article highlights long-term unemployment rising; that could eventually temper inflation fears and shift the Fed path, offering a later catalyst for semis/growth mean reversion.

Key entities

  • index
    Nasdaq Composite

    Closed down sharply (worst since April 2025) after the jobs report, reflecting growth/tech valuation pressure.

  • company
    Broadcom

    Earnings disappointment triggered a >12% drop and dragged semiconductors lower.

  • institution
    Federal Reserve (Warsh)

    New Fed Chair faces an early test around the June 16–17 FOMC meeting amid rate-hike expectations.

Read at source← All news

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Trump Fumes at Nasdaq Plunge, Says Stocks Should Go Up, Not Down After Bumper Jobs Report — alphai