Market Pivot: US Dollar Strength and the Tech Liquidity Drain

The market is absorbing a major repricing wave following a blockbuster U.S. labor report, where May Nonfarm Payrolls came in at 172K, handily beating the 102K forecast, and Average Hourly Earnings ticked up to 0.3% MoM. This strong domestic data has firmed up the U.S. Dollar [1], putting substantial downward pressure on major currency pairs like EURUSD, which slid to its lowest level since April 2026 [2][3]. Concurrently, higher-for-longer rate worries have triggered a massive rout in the semiconductor space, erasing over $1 trillion in market value as heavyweights like Nvidia faced sharp profit-taking [4][5][6]. Risk-off sentiment was further…