Episode Details

Friday's May employment report landed above expectations across the board — stronger job creation, a tight unemployment rate, and wage growth that gives the Federal Reserve no reason to move toward rate cuts. The reaction was immediate: yields rose sharply, the dollar strengthened, and equity and commodity markets sold off hard. The Nasdaqdropped more than four and a half percent on the day. Gold fell over three percent. Silver lost more than eight percent in a single session. This is the rate-sensitivity dynamic that has been hiding underneath a surface-level market rally all year.