"To us, the message is the labor market is slowing," Fundstrat's Tom Lee said of the June jobs report.
The June jobs "should have Fed officials troubled that the desired cooling in the economy could transition into a frigid summer," LPL said.
Stocks are adding to a strong first half of the year, with the S&P 500 and the Nasdaq Composite posting double-digit gains so far in 2024.
"Any further highs from these levels are likely to be minimal," says John Hussman.
Stocks edged higher on Thursday ahead of new inflation data in the form of May PCE. Weekly jobless claims came in lower than expected.
Stocks are hugely overvalued and the economy is faltering, paving the way for a stock-market crash and a recession, B. Riley's Paul Dietrich said.
The Nasdaq 100 has delivered positive returns for 16 straight years in the month of July, according to Goldman Sachs.
On Tuesday, Fed Governor Michelle Bowman touted the possibility of a rate hike.
Fed President Mary Daly said that the US labor market is showing signs of an inflection point that could ultimately weaken in a big way.
"The two previous instances of global labor shortage resulted in a parabolic move in technology stocks," Fundstrat's Tom Lee said.
Investors will keep an eye on initial jobless claims data, pending home sales, and a second revision to first-quarter GDP this week.
Stocks are in the midst of a decade-long bull market that will take the S&P 500 more than 40% higher, Ed Yardeni predicted.
"Say Nvidia, or Microsoft, or Apple, or the tech sector as a whole starts to experience negative sentiment...I think there's inherent risk there."
Investors are closely monitoring new economic data, as murmurs grow of a potential interest rate cut in July.
Shares of Nvidia were down an additional 2% in early Friday trades, while Dell, Broadcom, and Super Micro Computer were down between 1% and 2%.
The S&P 500 climbed above 5,500 for the first time before dropping back down. Nvidia's decline stemmed a multi-day rally to consecutive record highs.
Major averages were headed for another all-time high Thursday amid Nvidia's big rally this week. Jobless claims continued to hover near 10-month highs.
The epic surge in AI stocks led by Nvidia reminds three experts of the dot-com and housing bubbles, and could end painfully if investors get spooked.
Shares of Microsoft, Apple, and Broadcom all surged between 1.5% and 5% on Tuesday while Nvidia, Amazon, and Alphabet were also higher.
"The backdrop of slowing inflation, a Fed intent on cutting rates and steady growth have supported Goldilocks," Evercore ISI said.