Is it 1986 or 2026? As a buzzy biopic moonwalks the King of Pop back into the mainstream, Michael Jackson’s “Billie Jean” recently topped both Spotify’s global streaming chart and the Billboard Global 200 more than 43 years after its initial release. Zooming out, the most listened to songs and artists are increasingly populated by some of the biggest tracks of yesteryear. Stocks fell sharply on Friday, with the Nasdaq 100 suffering its biggest daily decline since April 2025. The S&P 500 broke its nine-week winning streak, while the Russell 2000 fell as well. All three indexes posted a weekly loss. Technology was the worst-performing sector by a wide margin, with Technology Select Sector SPDR tumbling as investors rotated into defensive sectors, with consumer staples, utilities, and healthcare all rising, along with real estate. 🧠 With the World Cup starting this week, let’s kick off with our Snacks Seven Quiz: |
- What portion of employees plans to take at least one day off for the World Cup?
Check your answer.
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Broadcom threatened to derail the AI trade last Wednesday evening. Coming into its earnings on a scorching run, it wasn’t wildly surprising that — on the back of results that were solid but failed to give any real excuses to incrementally bid the stock — the stock shed 13% Thursday, dragging memory stocks down with it. But that wasn’t the end of it. |
- Friday saw widespread selling in the tech space, and while some might blame Broadcom, those earnings were old news at the time of the sell-off. What gives?
- For starters, a blowout jobs report, which sent yields spiking. The US economy added 172,000 jobs in the month of May, sending 10-year Treasury yields higher. Experts had predicted only 85,000 new jobs — just half the reported number.
- Good news for the economy can be bad news for the stock market, as that print slashed the implied odds of a rate cut later this year and potentially weighed on the valuations of what are perceived to be riskier assets.
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Perhaps more plausible, however, is that there’s simply a general sense that momentum stocks and winners are a touch overextended. |
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Until very recently, winners like Micron, Sandisk, and Marvell Technology, to name but a few, have been ripping relentlessly higher. Momentum — by far the best-performing risk factor in equities in 2026 — ate it real bad on Friday, while low volatility, which has been crushed year to date, enjoyed a rare reprieve. The S&P 500 had been shooting for its 10th straight week of gains; so much for that. |
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Looking to tap into the latest investment trends? |
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Stories we’re obsessed with |
- Switching games: The Switch 2 launched on June 5, 2025. One year later, the handheld is the fastest-selling console in history, with 19.9 million units moved as of Nintendo’s most recent quarter. But, as the industry continues to reel from AI’s “RAMpocalypse,” lingering tariffs, ballooning game budgets that have squeezed margins, and slowing “black hole” engagement, the Switch 2 may be the last of a dying breed: a reasonably priced, mass-market console.
- Corporate America has never been this profitable: In the first quarter of 2026, S&P 500 companies kept nearly $0.15 of profit for every dollar of revenue, according to FactSet — the highest figure recorded since the data provider began tracking the metric in 2009, and more than double the long-run historical average of around $0.06 going back to 1946. Much of it comes down to the index’s new center of gravity, the Magnificent 7.
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