Split market after the jobs report — Nasdaq -0.8%, Dow +1.1%

Today's Market

Indices split after the 2nd's (local time) jobs report — the Nasdaq slipped -0.8% while the Dow rose +1.1% and the S&P 500 was flat

• The decline was confined to big-cap tech and semiconductors (tech -2.7%); with advancers at 67.2%, breadth was actually broad

• VIX -2.6% and oil flat — risk appetite stayed steady

• WATCH: Trade Balance (7/7)

Market Data

S&P 500

7,483.24

·0.00%

NASDAQ

25,832.67

▼0.80%

DOW

52,900.07

▲1.14%

VIX

16.15

▼2.65%

Sector Heat Map

SPY benchmark + 11 GICS sectors · 1-day

S&P 500 SPY −0.13%	Technology XLK −2.71%	Comm. Svcs XLC −0.13%	Cons. Discr. XLY −0.82%
Cons. Staples XLP +2.03%	Energy XLE +0.78%	Financials XLF +1.53%	Health Care XLV +2.63%
Industrials XLI +0.30%	Materials XLB +1.94%	Real Estate XLRE +1.13%	Utilities XLU +2.21%

In Focus

Big-cap tech and chip selling pinned the Nasdaq

Crowded big-cap tech and semis were the epicenter of the selling — the money leaving them was the source of the day's rotation

• Marvell -9.8%, Micron -5.5%, Intel -5.3% led a chip sell-off (sector -5.6%); Tesla -7.5%, Dell -7.3%, Meta -4.9% also fell

• Crowded, richly-valued positioning was vulnerable to a reversal — valuation and flows, not earnings, drove the drop

• The question: simple profit-taking, or a crack in the AI trade itself

A light jobs print drove rotation — into cyclicals and defensives

The jobs report came in softer than expected, pushing back Fed-hike expectations (2-year yield fell), and buying spread into rate-sensitive, defensive and value sectors

• Healthcare +2.6% (Moderna +10.0%), utilities +2.2%, staples +2.0%, materials +1.9%, financials +1.5% rose together

• Money leaving big-cap tech moved into these sectors, lifting the Dow and market breadth

This Week

ALL TIMES EASTERN (ET)

• Tue 7/7 Trade Balance

For informational purposes only. Not investment advice. All investment decisions are your own responsibility.

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