Meta’s AI Cloud Pivot and Tech Divergence: Trading the Shift

A heavy dose of macroeconomic updates and central bank commentary has injected fresh volatility into global markets. The major focus fell on the US labor market with a surprisingly soft ADP employment print of 98K [1], which preceded a downbeat Nonfarm Payrolls reading of 57K alongside a drop in the US Unemployment Rate to 4.2%. On the manufacturing front, the US ISM PMI expanded for a sixth consecutive month at 53.3 [2], signaling underlying economic resilience that has kept the US dollar highly competitive against major currency peers. In the equity space, investors have seen a notable rotation away from semiconductor names, triggered…