Archives June 2025

The Bureau of Labor Statistics is scheduled to release its monthly jobs report on Friday morning, and investors will watch closely.

The May employment report is the government’s official measure of the labor market. If other measures from the private sector are any indication, Friday’s report could be a harbinger of tariffs’ effects on the broader economy.

Here’s what to know about the report ahead of its release.

What To Expect From the Jobs Report

According to a survey by Dow Jones Newswires and The Wall Street Journal, economists expect the report to show 125,000 jobs were added in May. That would be a slowdown from the unexpectedly high 177,000 in April.

“While trade policy uncertainty declined after the U.S.-China trade deal, it remained very high across the payroll month,” wrote analysts at Goldman Sachs on Thursday. “Elevated uncertainty is likely to disproportionately weigh on employment growth in months when gross hiring is particularly elevated, such as May.”

Economists also expect the unemployment rate to remain at 4.2%, the same as last month. Over the last twenty years, it has averaged 5.8%.

How Has the Labor Market Been Holding Up?

Official government reports on the labor market have shown it has been surprisingly resilient to tariff pressures. Still, economists and private sector reports indicate a rough road ahead.

Economists predict that higher tariffs will cause companies to pull back on their highest cost—labor. That could mean fewer new jobs or layoffs.

Uncertainty around tariff policies has already caused businesses to hold off on investments like hiring, according to anecdotal reports. But so far, that hasn’t shown up in official government data. This week, the Job Openings and Labor Turnover report found that employers had 7.4 million jobs open in April, up from 7.2 million in March. That was more than economists expected, though they warned that it is a lagging indicator.

Other, more-recent measures of the labor market show a grimmer picture. A report from payroll provider ADP found that private employers added the fewest jobs since March 2023, almost half compared to the month prior. Economists tend to shrug off that report, as it only measures a portion of the labor market.

President Donald Trump, however, wasn’t so quick to eschew the findings. In the wake of the report, he once again criticized the Federal Reserve for not cutting interest rates to boost the economy.

Why It Matters to President Trump and the Fed

If tariffs do slow down the labor market and raise the unemployment rate, the Federal Reserve may be pushed to cut its influential federal funds rate.

The Fed has held its rate at a historically high level this year as it waits to see how the tariffs will affect the economy. Central bankers are concerned that tariffs threaten both sides of their “dual mandate” to keep inflation low and employment high.

That inaction has drawn the ire of Trump, who wants rate cuts to boost the economy immediately. He has said that the central bank has been too slow to cut and should follow the lead of its counterparts in Europe.

Central bankers, for their part, are waiting to see if inflation or jobs are affected before making moves. If prices rise because retailers pass tariffs to consumers, the Fed would need to maintain high rates to stifle inflation. If the job market does suffer, central bankers would likely be inclined to cut rates to boost economic activity and hiring.

Five Below’s performance is no longer fueled by fads like Squishmellow or fidget spinners. Its broadening appeal has made UBS one of the retailer’s biggest Wall Street backers.

UBS increased its target price for Five Below (FIVE) shares by $50, to $160, after the company handed in better-than-expected first-quarter results Wednesday afternoon. The analysts’ new price target is 25% above the roughly $128 average price target among analysts polled by Visible Alpha and the highest tracked by the service.

UBS’ target implies roughly 32% appreciation from Wednesday’s close. Analysts wrote that several factors are fueling Five Below’s strong performance, including better foot traffic, growing transaction volume and customers finding more of its merchandise engaging.

“This includes collectibles … Candy, Beauty, and select apparel items,” the note said. “Importantly, the company’s strength has not been due to one particular trend like it has in the past when products like fidget spinners, rainbow looms, Squishmellows, or other monumental products were outsized contributors.”

Five Below is adopting a “conservative” stance by incorporating a slowdown into its full-year forecast due to price increases, UBS said. Executives said on the conference call that Five Below plans to adjust prices on 15% of products and keep 80% of items in stores priced at $5 or less.

The retailer estimates full-year comparable sales will come in 3% to 5% above last year. UBS thinks higher prices won’t deter as many customers as expected, and that Five Below may grow more competitive, pricing-wise, in the era of tariffs.

UBS said the 6.2% year-over-year bump in transactions last quarter stands out. “The only other retailers that generated this type of transaction increase recently have been Costco (COST) and Sprouts” the note said, referencing the grocery chain, Sprouts Farmers Market (SFM).

Five Below shares finished Thursday up more than 5% and have increased more than 20% so far this year. 

Tesla (TSLA) shares plunged on Thursday, pushing the EV maker out of the exclusive $1 trillion club amid an intensifying spat between CEO Elon Musk and President Donald Trump.

In recent days, Musk had criticized a sprawling tax and spending bill currently before Congress, prompting the president on Thursday to express disappointment in the billionaire, who then fired back with a series of social media posts that sparked further reaction from Trump. Investors fear the escalating tension between the pair could lead Trump to axe funding and subsidies, and to block regulatory approval, for Musk’s businesses, including Tesla.

Tesla shares dropped 14% on Thursday to close at around $285, wiping out a sizable portion of the gains that the stock had posted after Musk said in late April that he planned to step away from his role as head of the government’s Department of Government Efficiency to spend more time at the automaker.

Below, we take a closer look at Tesla’s chart and apply technical analysis to identify major price levels that investors will likely be watching.

Rising Wedge Breakdown

Since bottoming out in early April, Tesla shares staged a countertrend rally within a rising wedge. However, the price broke down from the pattern this week, indicating a resumption of the stock’s longer-term downtrend that started in December.

In recent days, selling has accelerated, with the price closing below both the 50- and 200-day moving averages in Thursday’s trading session, a move that coincided with the relative strength index falling sharply below its neutral threshold toward oversold territory. Moreover, today’s drop occurred on heavy volume, signaling that larger market participants drove the selling.

Let’s identify three major price levels on Tesla’s chart where the shares could encounter support and also locate a key overhead area to watch during future upswings.

Major Support Levels to Watch

The first major support level to watch sits around $265. The shares may attract buying interest in this region near a range of trading activity within the rising wedge pattern and several peaks that developed on the chart last year between July and October.

A close below this level could see the shares fall to $215. This area may provide support near a horizontal line that connects a series of price action on the chart stretching back to last July. The location also closely aligns with a projected bars pattern target that takes the stock’s steep move lower from late March to early April and repositions it from the rising wedge pattern’s breakdown point.

Tesla bulls’ failure to defend this major level opens the door for a retest of lower support at $170. Investors may view this area as a potential trading floor near a period of sideways drift that formed on the chart throughout May and June last year.

Key Overhead Area to Monitor

During upswings in Tesla’s share price, investors should closely monitor the $365 area. A recovery effort to this level could see investors look for exit points near the top of the rising wedge pattern and minor peaks that emerged on the chart in late November and mid-February.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

Shares of AI-powered software provider MongoDB (MDB) surged Thursday as the company’s strong quarterly results and improved outlook drew price target hikes from analysts. 

The company’s Atlas multi-cloud database subscription offering saw its highest total net customer additions in six years, which Morgan Stanley analysts said “flies in the face of the bear case narrative that MongoDB is losing [market] share.” The bank lifted its target to $255 from $235. 

MongoDB shares added nearly 13% Thursday to close at $225.38, with Morgan Stanley’s target suggesting the stock could stand to climb another 13%. Still, the stock has lost about 3% year-to-date, after plunging in March on disappointing results a quarter ago. 

Citi analysts were even more bullish following the results, raising their target to $395 from $330. The bank called MongoDB’s results a “convincing rebuke to the ongoing narrative of increasing competition and diminishing developer mindshare.” Meanwhile, UBS analysts raised their target to $240 from $213.

MongoDB reported first-quarter revenue of $549 million, up 22% year-over-year, which CEO Dev Ittycheria attributed to enterprise clients choosing its software to modernize existing AI applications and build new ones.

Tesla CEO Elon Musk’s long-distance spat with the president cost the EV maker a spot in the $1 trillion club on Thursday. 

Shares of Tesla (TSLA) fell more than 14% on Thursday as Musk and President Donald Trump exchanged jabs across social media platforms. Thursday’s decline cut more than $150 billion from Tesla’s market capitalization, dropping its market value to about $913 billion.

Musk has been criticizing President Trump’s One Big, Beautiful Bill Act for days. He called it a “disgusting abomination” on Tuesday, and on Wednesday urged his followers on X, the social media platform he owns, to tell their senators to kill the bill. Musk officially left his role in the Trump administration’s cost-cutting Department of Government Efficiency last week. 

Trump responded on Thursday, telling reporters from the White House that he was “very disappointed” by Musk’s criticism. Trump went on to insist he would have won November’s election without the hundreds of millions of dollars Musk to support him and other Republicans. Trump later took to Truth Social to call Musk “CRAZY” and threaten to cancel Musk’s government contracts. 

Tesla’s stock has been on a rollercoaster ride this year. Shares shed as much as 40% of their value in the first quarter as sales slumped, tariffs hit the stock market, and controversy swirled around Musk. They staged a comeback in April and May after Musk said he would step back from Washington.

Thursday’s decline erased much of that rally and put shares down about 30% since the start of the year.

Written by Steven Dooley, Head of Market Insights, and Shier Lee Lim, Lead FX and Macro Strategist

USD softens as risk sentiment wavers

US equity futures declined, with Nasdaq 100 futures down 1% and S&P 500 futures falling 0.7%. Higher US Treasury yields weighed on tech and growth stocks, while noise around Trump-Musk relations added further pressure.

The ECB delivered a 25bps rate cut to 2.00%, as expected, while revising inflation forecasts lower to 2% for 2025 and 1.6% for 2026.

President Lagarde hinted that the policy easing cycle may be nearing its conclusion, with a potential pause in July.

The USD softened slightly overnight as risk sentiment remained cautious following a lack of concrete developments in US-China trade talks.

USD/CNH pair remained relatively unchanged, reflecting market awareness of ongoing challenges in US-China relations.

EUR/USD pulled back from ~1.1500 to 1.1440 during the ECB press conference, but ended 0.25% gains overnight.

China’s Services PMI shows resilience, but CNH unchanged

China’s Caixin Services PMI edged higher to 51.1 in May, beating expectations of 51.0 and improving from 50.7 prior.

This suggests modest growth in the services sector, with both supply and demand improving slightly.

The Composite PMI slipped into contraction at 49.6, dragged down by manufacturing weakness.

USD/CNH was unchanged overnight, with next key resistance levels at 21-day EMA of 7.2013 and 50-day EMA of 7.2292.

Greenback nears three-year lows ahead of jobs data

The greenback, as measured by the USD index, neared three-year lows overnight ahead of tonight’s all-important US jobs data.

The May non-farm employment change is forecast to see 126k new jobs according to the Bloomberg consensus, with the unemployment rate forecast to stay steady at 4.2%.

The key risk is another strong number. The US job report has defied expectations for a weakening with the last two results actually stronger than expected.

With another strong number, the USD could stage a recovery from key support at the three-year lows on the USD index and push the greenback higher in other markets.

The US jobs report is due at 10.30pm AEST.

Aussie hovers above key level 0.65

Table: seven-day rolling currency trends and trading ranges  

Key global risk events

Calendar: 2 – 6 June

Have a question? [email protected]

*The FX rates published are provided by Convera’s Market Insights team for research purposes only. The rates have a unique source and may not align to any live exchange rates quoted on other sites. They are not an indication of actual buy/sell rates, or a financial offer.

Major U.S. equities indexes moved lower Thursday after the Labor Department reported an uptick in initial claims for unemployment benefits, amplifying concerns about the labor market ahead of Friday morning’s jobs report.

The S&P 500 lost 0.5%. The Dow slipped 0.3%, while the tech-heavy Nasdaq ended the session 0.8% lower.

Shares of alcoholic beverage maker Brown-Forman (BF.B) plummeted 17.9%, falling the most of any S&P 500 stock and sinking to their lowest level in more than 11 years. The downturn came after the company behind Jack Daniel’s whiskey said it faces a challenging operating environment this year, citing geopolitical volatility, consumer headwinds, and uncertain tariff impacts.

Tesla (TSLA) shares plunged 14.3% as tensions mounted between CEO Elon Musk and President Donald Trump. Since departing his role with the Trump administration last week, Musk has repeatedly criticized the Trump-backed budget reconciliation bill, prompting Trump to question his relationship with the SpaceX chief and former government efficiency official. In addition, a report earlier this week showed Tesla’s sales last month in Germany, Italy, and the U.K. fell compared with a year ago.

Palantir Technologies (PLTR) shares dropped 7.8% on Thursday, extending a pullback that began in Wednesday’s session. Investor optimism about the big data analytics firm’s expanding business with the federal government helped the stock hit an all-time closing high on Tuesday. Still, the integration of Palantir’s Foundry platform into numerous government systems has stirred controversy. Speaking with CNBC on Thursday, Palantir CEO Alex Karp rejected a New York Times report indicating the company may have been involved in compiling a surveillance database on U.S. citizens.

After posting the steepest drop in the S&P 500 on Wednesday, Dollar Tree (DLTR) shares roared back, jumping 9.1% to secure Thursday’s best performance in the benchmark index. The recovery came after JPMorgan upgraded Dollar Tree stock to “overweight” from “neutral.” Analysts highlighted growth potential driven by the retailer’s expansion of its multi-price-point “MPP 3.0” strategy as Dollar Tree updates store formats to offer a broader range of products.

Shares of Cooper Companies (COO) gained 5.6% after the medical device maker outlined its strategic initiatives at an investor conference. The company is targeting faster growth in the contact lens market by expanding several key product lines and offering free lenses to encourage trials.

Norwegian Cruise Line Holdings (NCLH) shares gained 5.2% after Citigroup boosted its price target on the stock. Analysts cited improving trends from their research into web traffic and pricing in the cruise industry, with improvements in May after some softness in April.

Thomas Cowan, VP of tokenization at regional winner Galaxy Digital, explains why the digital asset company tokenized a 300-year-old Stradivarius violin.

Global Finance: There’s a lot of talk lately about tokenizing physical assets like gold, real estate, and art. What are the advantages? When you tokenize a collectible like a 1708 Stradivarius violin, as your company did recently, don’t you still have to go through the same demanding documentation process as you would if you sold it through an auction house?

Thomas Cowan: One difference is that once you’ve completed that due diligence and you’ve put the asset on-chain—as a NFT that is mapped to the violin—all that information remains encapsulated in the NFT: the violin’s history, its former owners, etc.

GF: And that makes it more easily traded?

Cowan: The next person won’t have to do nearly as much diligence, because they will have the history already on-chain. You end up saving a lot of costs on the due diligence side, because the source of truth and the source of record are fully on-chain, already there.

Another advantage is transparency. Minting a publicly recorded NFT on the Ethereum blockchain [as happened with the Stradivarius] ensures a verifiable, fraud-proof record of ownership and provenance.

GF: By tokenizing a 300-year-old violin that once belonged to Catherine the Great, what financing opportunities do you open up?

Cowan: Owners can unlock liquidity without necessitating a sale if they convert the asset into a digital token. The violin can then be utilized as collateral. This can fundamentally transform the way these assets interact with financial markets.

GF: Can tokenization make global finance safer?

Cowan: Think back to the situation before the 2008 financial crisis, when you could buy into a mortgage-backed security pool, but you didn’t know the performance of the underlying loans. Well, with tokenization, you see every single underlying loan. If I’m buying a senior tranche of a debt pool, I know exactly what that risk looks like because I can see every single loan.

GF: What were the key challenges in making this project happen?

Cowan: The legal aspects were a hurdle. With a traditional IPO or a bond issuance, you have the legal documents, which are pretty standard across the industry. It turns out there are no standard legal documents out there for violin tokenizations. So, we had to really start from scratch.

GF: What are some other areas ripe for tokenization?

Cowan: I think we’ll really begin to see an increased interest in on-chain debt, especially structured products and private credit, over the next year or two. Tokenization technology can create a lot of efficiencies there.

GF: What about real estate and equities?

Cowan: I think real estate is still relatively far out. You’ve got property laws that differ based on country, state, and municipality, for instance. Also, much of the history with real estate is still paper based.

As for equities, a few months ago, I would have said we have a long way to go. But because of how quickly regulatory clarity is coming [especially in the US] and how quickly the Securities and Exchange Commission is moving [with regard to crypto and blockchain technology-enabling regulation], the industry may move faster on tokenizing equities.

GF: What obstacles remain before tokenization of financial products becomes widespread?

Cowan: We still have regulatory challenges, and of course identity and know your customer (KYC) and anti-money laundering (AML) challenges. Those are not going away.

GF: Overall, what does tokenization mean for global finance generally? Will it really change the landscape? Cowan: Over the past decade, we’ve been moving forward without regulatory clarity. But when we are given rules of the road, we’re going to see a lot of capital, especially from institutions, flood into the industry because they’ve seen the value of the technology. We’ll get cost reduction, but also a much more inclusive economy.

Government spending cuts and economic uncertainty are helping push employers to lay off workers at the fastest pace since the pandemic. 

U.S.-based employers have announced 696,309 job cuts so far this year, according to the monthly report from business and executive coaching firm Challenger, Gray & Christmas. It’s the highest level of job cuts since pandemic-driven layoffs left more than 1.4 million people out of work during the first five months of 2020.

Announced layoffs in May were actually lower than April levels, which were driven by Department of Government Efficiency (DOGE) cuts, but were 47% higher than the job cuts announced in May 2024.

“Tariffs, funding cuts, consumer spending, and overall economic pessimism are putting intense pressure on companies’ workforces. Companies are spending less, slowing hiring, and sending layoff notices,” said Andrew Challenger, Senior Vice President of Challenger, Gray & Christmas.

However, DOGE accounted for over a third of the layoffs through direct reductions in federal government staff and funding or the “downstream impact” of organizations cutting jobs because they lost government money.

The report tracks published announcements of job cuts and reflects a string of major companies that have recently reported layoffs.

Procter & Gamble (PG) was the latest company to announce layoffs, with a company executive revealing this week that the conglomerate planned to cut 7,000 non-manufacturing jobs over the next two years. Other recent layoff announcements have come from Microsoft (MSFT), Morgan Stanley (MS), Walmart (WMT) and CrowdStrike (CRWD).

Because it only tracks published reports, most economists, analysts, and investors don’t follow it closely. Many will look to Friday’s official government jobs report for a more comprehensive measure of the labor market, as it gathers information directly from businesses and workers.

Rare earth minerals are at the heart of trade discussions… why they’re so important… are rate cuts coming or not?… why learning to trade volatility is critical

This morning, President Trump and Chinese President Xi Jinping held a 90-minute phone call to discuss trade.

From Trump on Truth Social:

I just concluded a very good phone call with President Xi, of China, discussing some of the intricacies of our recently made, and agreed to, Trade Deal.

[It] resulted in a very positive conclusion for both Countries.

In the President’s post, he highlighted the key stumbling block in trade negotiations…

Rare earth elements (REEs).

According to reports in recent days, both sides have been ready to roll back much of their respective retaliatory levies, but the sticking point is rare earth elements.

In short, China has them… the West desperately needs them… and unless something changes, we’re about to feel the economic sting of their absence.

Back to Trump on Truth Social:

There should no longer be any questions respecting the complexity of Rare Earth products.

Let’s back up to make sure we’re all on the same page…

Rare earth elements (or minerals) are a group of 17 elements that can be difficult to find and extract

These elements contain unique magnetic, heat-resistant, and phosphorescent properties that make them critical for, well, the next generation of just about everything:

• Consumer products: They’re needed for all your favorite tech-products such as smart phones, computers, electric vehicles, LED lights, flat screen TVs, you name it…
• Tomorrow’s AI advancements: AI relies on powerful hardware components like GPUs and ASICs, which use rare earth elements like neodymium for magnets in cooling systems and motors, and gadolinium for heat resistance…
• National defense: REEs are critical for wide range of defense applications, including aircraft, submarines, missiles, and radar/sonar systems. You’ll find them in everything from magnets that power electric motors and actuators in fighter jets, to lasers, to guidance systems in missiles…
• Quantum computing: REEs such as ytterbium and europium are being used to create more stable and efficient qubits, the fundamental units of quantum information.

Basically, no REEs, no technology.

The U.S. is in a bind because China controls 90% of the world’s refining capacity.

And, no, we can’t just flip a switch and begin producing REEs. Any legitimate domestic production (at scale) would need at least five, possibly ten years to get up and running.

But by then, the race to AGI, humanoids, and possibly quantum computing supremacy, will have been decided.

China’s slow-walk on REE restrictions spurred President Trump’s lash-out from last week

In last Friday’s Digest, we covered how President Trump was angry at alleged Chinese violations of trade agreements. Here’s what he wrote on Truth Social:

The bad news is that China, perhaps not surprisingly to some, HAS TOTALLY VIOLATED ITS AGREEMENT WITH US.

So much for being Mr. NICE GUY!

At the time, the source of this violation was unclear, but we can now point to REEs.

Here’s The Wall Street Journal (it’s referencing rare earth “magnets” because the focus of the article is on their use in the auto industry):

China was supposed to have eased export controls on rare-earth magnets as part of a 90-day tariff truce agreement with the White House, but the country has slow walked license approvals for magnets.

Trump accused China of violating its deal with the U.S.

China has pushed back at the notion that it was to blame, alleging “discriminatory and restrictive measures” by Washington, including restricting exports of AI chips and revoking visas for Chinese students.

Unless trade talks are successful, the global auto industry is about to feel the consequences of the REE squeeze.

From Reuters:

Alarm over China’s stranglehold on critical minerals grew on Tuesday as global automakers joined their U.S. counterparts to complain that restrictions by China on exports of rare earth alloys, mixtures and magnets could cause production delays and outages without a quick solution.

German automakers became the latest to warn that China’s export restrictions threaten to shut down production and rattle their local economies, following a similar complaint from an Indian EV maker last week.

Auto sector troubles could be just a preview of what’s to come for other sector supply chains.

Bottom line: the world’s economic neck is exposed here. We must negotiate loosened restrictions on REEs or else we risk dangerous escalation.

We’ll dig into this potential escalation in greater detail in a coming Digest.

For now, if you want to invest in REEs, you have a handful of Western options. In this December Digest, we highlighted a few. Here’s how they’ve performed since as I write Thursday:

• Las Vegas-based Mp Materials Corp (MP): +9%
• Texas Mineral Resources Corp (TMRC): +94%
• Canadian-based Ucore Rare Metals (UURAF): +65%

To be sure, these stocks are volatile. Plus, recognize the binary bet you’re making…

If trade negotiations are successful, these stocks will likely pull back sharply. But if negotiations drag on – or fail – these players have moonshot potential.

We’ll keep you updated here.

Does the economy need rate cuts or not?

Earlier this week, we received conflicting data on the jobs market, raising questions about the Fed’s rate-cutting policy.

We’ll start with Tuesday’s JOLTS report.

Here’s The Wall Street Journal:

US job openings unexpectedly rose in April in a fairly broad advance and hiring picked up, indicating demand for workers remains healthy despite heightened economic uncertainty…

The rise in job openings, along with steady hiring and low unemployment, support the Federal Reserve’s assertion that the job market is in a good place…

So far, [labor market weakness] hasn’t shown up in the data yet, supporting the Fed’s posture to keep interest rates steady for now.

But then yesterday, the ADP jobs report showed that private payrolls increased just 37,000 in May, miles beneath the forecast for 110,000.

Here’s CNBC:

Private sector job creation slowed to a near standstill in May, hitting its lowest level in more than two years as signs emerged of a weakening labor market, payrolls processing firm ADP reported Wednesday…

“After a strong start to the year, hiring is losing momentum,” said Nela Richardson, chief economist for ADP.

So, which economy are we looking at?

One that’s “in a good place” that doesn’t need rate cuts? Or one that’s “losing momentum” with “signs [of] weakening” that desperately needs the Fed to come to the rescue?

This morning might have brought a tiebreaker…

The jobs placement group Challenger, Gray & Christmas released its May jobs report, titled:

May 2025 Job Cuts Up 47% Over Same Month Last Year; Cuts Spread to Other Sectors Than Gov’t for Other Reasons Than DOGE

Here’s Senior Vice President Andrew Challenger with the quick sum-up:

Tariffs, funding cuts, consumer spending, and overall economic pessimism are putting intense pressure on companies’ workforces.

Companies are spending less, slowing hiring, and sending layoff notices.

Digging into the data, through May, employers have announced 696,309 job cuts. That’s an 80% jump from the amount announced at the same time last year.

Futures traders are upping their bets on more rate cuts

Over the last two days, traders have assessed the incoming data and increased their bets on more cuts.

Traders now put the heaviest odds on two quarter-point cuts this year. Those odds clock in at almost 39%, ahead of the second-heaviest 31% probability of three quarter-point cuts.

I don’t think there’s any confusion about what President Trump wants…

From Trump on Truth Social yesterday:

ADP NUMBER OUT!!! ‘Too Late’ Powell must now LOWER THE RATE.

He is unbelievable!!! Europe has lowered NINE TIMES!”

Tomorrow brings the most significant labor market report that the Fed will be watching to navigate this complexity – the May jobs report.

Forecasters predict a slower pace of job growth yet a stable unemployment rate.

If the numbers surprise in either direction, the report could have market-moving potential.

How to profit if the market moves south

In yesterday’s Digest, we profiled analysis from master trader Jeff Clark. He believes we’re on the edge of bear market, with a potential bottom around 4,150 on the S&P this fall – after which, we’ll have a “generational buying opportunity.”

But even if Jeff is wrong, his strategy is still working in today’s “up” market.

Here he is explaining how you can be wrong and yet profitable with his trading style:

May was a great month for the stock market. But I was bearish.

I may have been wrong, but my readers still made 129% in a month. That’s because the stock market rallies are different this year than they have been in the past.

There’s lots of intraday volatility, lots of back-and-forth action, and lots of ways to trade profitably, no matter the overall direction.

I recommended four separate put option recommendations on the S&P 500 to my subscribers during the month of May. And, despite the broad stock market notching its best May gain in since 1990, we were profitable on all four trades.

The cumulative return was 129%, and the average time in the trades was just five days.

These weren’t one-off wins.

Since April 2 Liberation Day, Jeff has closed 25 trades:

• 19 winners
• 15 for double-digit gains
• 3 for triple-digit gains

We’d all be wise to learn how to trade volatility

Candidly, you may not have the time or mental bandwidth to trade volatility. Life gets busy, and for many, a buy-and-hold approach is simply more realistic.

If that’s you, make sure you’re holding high-conviction stocks – and that you have the stomach for a potential 30% drawdown, which Jeff sees as a real possibility.

But if you’re willing to sharpen your trading skills, volatile or bear markets become less of a threat and more of an opportunity.

By trading as markets decline, you can generate profits that you later reinvest into your long-term positions at the bottom – when prices are deeply discounted.

Yes, your long positions will still reflect the downturn after the selloff. But if you’ve been booking trading gains along the way, you’ll have fresh capital to deploy into your best ideas – at fire-sale prices.

If you haven’t been trading, you’re simply riding the rollercoaster with nothing to show for it but the ride down.

The best part about it is that Jeff’s trading strategy is simple and reliable.

Here’s Jeff:

Basically, we just wait until a stock or an index gets stretched too far in one direction or the other. Then we bet on the proverbial rubber-band snapping back. We look to buy stocks that are deeply oversold, and we look to sell/short stocks that have pushed too far into overbought territory.

Then, we exit the trades when conditions return to neutral.

This strategy paid off quite well during President Trump’s first term in office. It has been paying off again since the President has returned. And, I suspect it will continue to work well for the next 3.5 years – at least – no matter what the stock market does.

Next Wednesday June 11 at 10 a.m. ET, Jeff will get into more details. To reserve your seat, just click here.

We’ll keep you updated on all these stories here in the Digest.

Have a good evening,

Jeff Remsburg