Public Markets 3 Days

Last updated: June 5, 2026, 5:32 PM ET

Equity Markets

The Nasdaq Composite plunged 4% on Friday as chip and memory stocks led a broad selloff, with the tech-heavy index joining the S&P 500 in its worst daily decline of 2.6% this year. The carnage followed stronger-than-expected May payrolls that added 172,000 jobs, pushing bond yields higher and forcing a 4.8% slide in Nasdaq 100 futures. Despite the drubbing, old-economy stocks rallied with the Dow Jones Industrial Average hitting new peaks as investors rotated into defensive names. Meanwhile, Vanguard's S&P 500 ETF breached $1 trillion in assets, becoming the first fund of its kind to reach the milestone amid sustained retail inflows.

IPO & Listing Developments

SpaceX readied a $75 billion valuation with plans to sell 555.6 million shares at $135 apiece, though S&P Dow Jones Indices rejected proposals to ease requirements for mega-cap IPOs seeking index inclusion. The Elon Musk-led rocket company set aside up to 25% of shares for retail investors in what would be the largest-ever IPO allocation. This follows JPMorgan's upgraded Tesla stance after replacing its bearish autos analyst, signaling renewed institutional confidence in EV makers despite the broader tech selloff.

Fixed Income & Monetary Policy

U.S. Treasury traders fully priced in a 2026 Fed rate hike after the May employment report showed robust job growth, sending the dollar higher against major peers. The repricing pushed Australian seven-year bond demand up sharply as investors bet the Reserve Bank's tightening cycle nears completion. Goldman Sachs Group Inc. traders noted that despite the relentless rally since March, extreme positioning wasn't evident in markets, suggesting room for further volatility. In corporate debt, Western Asset Management settled SEC charges for $100 million while Wamco agreed to a similar penalty over trading practices, underscoring regulatory scrutiny in fixed income markets.

Commodities & Energy

OPEC crude output fell to multi-decade lows as U.S. sanctions squeezed Iranian production, though Hormuz Strait traffic remained near zero with peace talks between Washington and Tehran stalled. Gold futures settled at $4,337.10, down 4.90% for the week, while natural gas futures handed back gains amid easing supply concerns. Pipeline alternatives to the Hormuz bottleneck offer only partial relief, leaving energy markets vulnerable to ongoing Middle East tensions that have kept oil prices elevated.

Artificial Intelligence Investments

Meta Platforms weighed multi-billion dollar equity raises to fund AI infrastructure after securing a blockbuster Google partnership, while Anthropic called for AI nonproliferation measures warning that self-improving models pose existential risks. SoftBank's Masayoshi Son committed $52 billion to French data centers, marking a dramatic reversal from earlier despair over AI investments. The funding push comes as finance chiefs struggle to track AI usage across corporate America, with vendors preparing to charge by token consumption.

M&A & Corporate Activity

Fuji Media's real estate unit attracted $6.3 billion in bids from KKR, Blackstone and Goldman Sachs, marking one of Japan's largest property transactions. Hillhouse Investment neared a significant stake purchase in LRQA from Goldman Sachs Asset Management, while T&D Holdings planned $1.2 billion buybacks funded by insurance unit divestitures. CrowdStrike lifted revenue guidance to $6.53-$6.56 billion after swinging to quarterly profit on strong cybersecurity demand.

Global Economy & Policy

Indian households expect accelerating inflation through year-end, prompting RBI rate-hike bets as subsidies from high oil prices threaten fiscal targets. Asia stepped up currency defenses with Korea and Indonesia pledging interventions against capital outflows. Senegal pre-emptively paid foreign-currency bondholders before hosting IMF officials, while European airlines sat on €3.2 billion in unpaid delay compensation since 2011.

Regulatory & Legal

CBS News fired Scott Pelley amid ongoing turmoil following Trump's assault on "60 Minutes," with editor-in-chief Bari Weiss publicly addressing the dismissal. Deutsche Bank may set aside more provisions than expected for souring loans as it cleans up its balance sheet. Meanwhile, John Bolton reached a plea deal over classified information retention that could bring fines and up to five years imprisonment.

Market Sentiment & Outlook

The dollar's decline may be overstated according to FT analysis, though traders price in further Fed tightening after hot jobs data. UK Labour faced warnings against wealth redistribution without growth priorities, while European innovation showed signs of flexing through new tech sovereignty packages. Despite the equity selloff, Vanguard ETF demand remained insatiable as investors continued buying market dips.