Bloomberg — 2026-06-05#

Lead Story#

The US economy added a staggering 172,000 jobs in May, crushing forecasts and dramatically altering the trajectory of Federal Reserve policy. The blowout payrolls report—which held the unemployment rate steady at 4.3%—demolished the case for imminent rate cuts, driving traders to fully price in a rate hike by year-end and sparking a broad selloff across tech stocks and Treasuries.

Markets & Economics#

• Traders Fully Price in Fed Rate Hike This Year After Jobs Data: The surprisingly robust US jobs data sent Treasury yields soaring and halted Wall Street’s record weekly run as investors abandoned the artificial intelligence trade. Economists noted the labor market’s resilience leaves policymakers in no hurry to ease, with some Fed officials pointing to re-accelerating inflation drivers.
• India Scraps Taxes to Attract Foreign Investment in Bonds: The Reserve Bank of India kept its benchmark interest rate unchanged while deploying a raft of measures—including tax cuts for overseas institutional investors—to stabilize the rupee. The currency defense comes as India grapples with equity outflows and soaring energy prices linked to the Iran war.
• Bitcoin Falls Below $60,000 for First Time Since 2024 Trump Win: The cryptocurrency slid beneath a key psychological threshold, extending a grueling week that erased $62 billion from publicly traded crypto-treasury firms. The rout reflects waning speculative enthusiasm and a broader market rotation out of risk assets.
• ‘Sell Indonesia’ Sweeps Trading Desks as Prabowo Tightens Grip: Global investors are fleeing Indonesian assets at a record pace, sinking the rupiah to all-time lows amid a mounting crisis of confidence in President Prabowo Subianto’s economic policies. Despite the widespread selloff, the nation’s finance minister rejected the gloomy narrative, pointing to resilient bond inflows.

Business & Industries#

• SpaceX’s $75 Billion IPO Draws More Orders Than Shares Available: Elon Musk’s space venture is seeing massive demand for its record-breaking listing, but underwriters have been ordered to reject bids from Chinese and Hong Kong investors due to US national security restrictions. Despite the frenzy, index gatekeepers like S&P Dow Jones signaled that mega-IPOs will not be fast-tracked into major benchmarks.
• Wall Street Sours on Lululemon Shares After Sales Outlook Cut: Analysts are abandoning the upscale athletic apparel maker after it slashed its annual forecast on the back of slumping North American sales. Only a single Wall Street analyst maintains a “buy” rating on the stock.
• TPG, Oaktree, Oak Hill Lead €1 Billion Funding for Evoke Buyout: A consortium of private lenders is providing roughly €1 billion to back Bally’s Intralot’s acquisition of gambling firm Evoke Plc. The £243 million takeover highlights continued private credit appetite for large-scale buyouts.
• A Struggling Community’s Future Rests on an AI Data Center: Meta Platforms is moving forward with plans to build its largest artificial intelligence data center yet in rural Louisiana. The massive infrastructure project is testing whether local residents will actually reap tangible economic benefits from the tech giant’s arrival.

Policy & World#

• US and Iran Show Little Progress in Talks After Week of Clashes: Ceasefire negotiations remain deadlocked as fighting intensifies and Hezbollah rejects a US-brokered truce in Lebanon. The stalemate has choked commercial traffic through the Strait of Hormuz to a near-standstill, prompting the UK government to forecast oil prices could hover around $100 a barrel until 2028.
• Senate Passes Immigration Bill After Feud Over $1.8 Billion Fund: The US Senate approved a $69.5 billion funding package for immigration enforcement agencies, ending months of gridlock. The bill’s passage overcame Republican resistance regarding a controversial fund designed to compensate political allies of President Donald Trump.
• Putin Rejects Zelenskyy Call for Peace Talks, Tells Army to Work: Russian President Vladimir Putin swiftly dismissed a rare open letter from Ukrainian President Volodymyr Zelenskyy proposing negotiations. The rejection comes just as leaders from the UK, France, and Germany prepare to meet with Zelenskyy to discuss a diplomatic endgame.
• Why Ebola Is Proving Hard to Slow in Congo: A new outbreak of the highly lethal Bundibugyo strain of Ebola is spreading rapidly in Central Africa, compounded by mistrust of authorities and structural funding cuts. Experts warn the international system built to contain such outbreaks is currently in crisis.

Opinion & Analysis#

• The Supreme Court Doesn’t Care About Voting Anymore: Bloomberg Opinion argues that the Supreme Court’s decision to permit Alabama’s racially discriminatory congressional map sends a grim message that voters are now entirely “on our own” in the fight for fair elections, abdicating its role as a guardian of democracy.
• What If the Next Big AI Trade Isn’t in the US?: While the US remains the epicenter of the artificial intelligence boom, investors have already thoroughly priced in the domestic upside. Emerging markets, however, offer a compelling alternative narrative at a steep discount, positioning them as the next lucrative frontier for AI capital.