Technology stocks slipped on Wall Street

Wall Street’s bull run was interrupted by a sell-off in technology stocks and rising interest rates on government bonds. A strong employment report released on Friday added to expectations that the US central bank, the Fed, may raise its key interest rate this year.

The Fed’s next rate meeting will take place on the 16th and 17th. new chairman in June Kevin Warshin under. The expectation is that the central bank will keep its key interest rate unchanged in the range of 3.50–3.75 percent.

In the United States, employment grew clearly more than predicted in May and the unemployment rate remained at 4.3 percent. In the market, this is seen as a sign that the labor market is recovering from a period when hiring was sluggish. The surprise highlights the economy’s resilience, but keeps the Fed’s and markets’ attention on inflationary pressures.

Along with the strong job report and interest rate forecasts, investors are reassessing the investment boom related to artificial intelligence, which has been behind the strong rally.

The technology-focused Nasdaq fell 4.2 percent on Friday. It was the index’s weakest day since April 2025, when the president Donald Trump’s the customs declaration confused the stock market.

Large technology companies clearly weakened. Chip companies benefiting from investments in data centers were in rapid decline. Nvidia decreased by 6.2 percent and the company’s smaller competitor AMD 10.9 percent. Having produced a guidance disappointment earlier this week Broadcom decreased by 7.9 percent.

Navellier & Associates investment manager by Louis Navellier according to this is the repatriation of profits from the semiconductor sector.

“The rise in interest rates will also affect the market. It is due to the very strong employment data, which lowers expectations of the Fed’s interest rate cut,” Navellier told the news agency Bloomberg.

The S&P 500, which tracks large companies, fell 2.6 percent on Friday. The flagship company index Dow Jones weakened by 1.4 percent. Yesterday, Thursday, the Dow Jones rose to its new closing record.

The Russell 2000 index, which tracks small companies, fell 3.5 percent.

From technology companies Apple weakened by 1.3 percent, Microsoft 2.7 percent, Alphabet percent, Amazon 3.1 percent and Meta 5.5 percent. Tesla decreased by 6.6 percent

The weakening of the value of the cryptocurrency bitcoin hit crypto companies. Coinbase decreased by 7.2 percent, and Circle slipped 11.3 percent.

Network equipment manufacturer on the New York Stock Exchange Nokia decreased by 13.5 percent. Nokia’s depository receipt or ADR is listed on the New York Stock Exchange.