The Nasdaq dropped 3.01%, the S&P 500 lost 1.81% and the Dow Jones Industrial Average fell 0.80% as investors reassessed the interest-rate outlook.
US stocks fell sharply after May's jobs report strengthened market expectations that the Federal Reserve could keep tightening monetary policy. The Nasdaq slid 3.01%, while the S&P 500 fell 1.81% and the Dow Jones Industrial Average lost 0.80%. Stronger labor data can reinforce expectations of a Fed rate hike by suggesting the economy remains resilient enough to absorb higher borrowing costs.