Finance

The tech-heavy Nasdaq Composite plunged 4.2% as a widespread retreat from artificial intelligence and semiconductor stocks wiped out approximately $1 trillion in market value. Major industry players suffered significant losses, with Nvidia falling 6%, Broadcom dropping nearly 8%, and Micron Technology plunging 13%. Investor sentiment was further dampened by Broadcom's unchanged full-year AI chip targets, raising questions about the immediate growth trajectory of AI infrastructure demand.

Bond yields rose sharply across the board as traders adjusted their expectations for the Federal Reserve's monetary policy path. The benchmark 10-year U.S. Treasury yield climbed to 4.55%, its highest level since late May, while the policy-sensitive 2-year yield reached 4.17%, a peak not seen since February 2025. These movements reflect growing skepticism that the central bank will implement rate cuts in the near term given the resilience of the U.S. economy.

The cryptocurrency market faced intense downward pressure as Bitcoin briefly dipped below the $60,000 threshold on June 5, 2026. This decline followed reports that major corporate holders had unloaded portions of their holdings and coincided with a broader shift of capital toward emerging megacap IPOs and high-growth technology shares. Other digital assets also struggled, with Ethereum seeing a significant price drop and various altcoins reaching new all-time lows.