On the first day of June, the Dow Jones Industrial Average dropped 1.95%, the Standard & Poor's Index 2.18% and the Nasdaq Composite Index 2.5%. In effect, stock market gains for the year were wiped out. The reason: Jobs.

That was the day the Labor Department said the U.S. economy created only 69,000 jobs in May, not the 150,000 it had predicted. "The vast majority of investors are choosing to panic," said Brian Jacobsen, chief portfolio strategist at Wells Fargo Funds Management, in a Reuters analysis. Evidence: Lower yields on government bonds and a spike in futures traded on the Chicago Board Options Exchange's Volatility Index, the so-called Fear Index.

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