Amazon's revenue guidance falls short of expectations, leading to a 4% drop in its stock price. Meanwhile, President Trump's announcement of tariffs on China fuels market uncertainty. Individual investor sentiment turns increasingly bearish, with a majority believing U.S. stocks are overvalued.
Amazon 's shares tumbled 4% after the e-commerce giant's guidance disappointed investors. The company projected revenue growth of 5% to 9% in the first quarter. This news comes on the heels of the Trump administration's announcement of 10% tariffs on China. While President Trump agreed to pause 25% levies on Canada and Mexico, the looming trade war continues to create uncertainty in the markets.
Barbara Doran, CEO of BD8 Capital Partners, described the Trump administration as a 'wild card' for the market, anticipating increased volatility, particularly given current valuations. Market attention is now shifting towards the January jobs report, scheduled for release on Friday. Economists anticipate nonfarm payroll growth of 169,000 for the month, a figure lower than previous expectations. Individual investor sentiment towards stocks has reached a 15-month high, with pessimism on the stock outlook for the next six months surging to 42.9%. A recent survey by the American Association of Individual Investors revealed that only 33.3% of respondents are bullish on stocks, marking a three-week low. Additionally, a majority (52.5%) of investors believe U.S. stocks are overvalued.Market analysts, like Atwater at the College of William & Mary, have drawn comparisons to the children's book 'The Cat in the Hat,' describing the current market as unpredictable and prone to sudden shifts. Atwater suggests that investors are overlooking the potential for lasting consequences, believing the Trump administration's actions to be temporary disruptions.
Amazon Stock Market Tariffs Economy Investor Sentiment
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Investors Await Inflation Data While GDP Growth DisappointsInvestors are closely watching the release of the personal consumption expenditures price index, the Federal Reserve's preferred inflation gauge, for December data. Alongside this, they will be analyzing other economic indicators such as personal spending and employment costs. The release comes after a weaker-than-expected GDP report, showcasing slow economic growth in the U.S. The Federal Reserve maintained its interest rates at the current target range of 4.25%-4.50% despite pressure from President Trump to cut rates.
Read more »
NZD/USD Weakenes as Trump Threatens Tariffs and Chinese PMI DisappointsThe New Zealand Dollar (NZD) weakens against the US Dollar (USD) as President Trump announces tariffs on various imports, boosting the Greenback. Downbeat Chinese PMI data and dovish expectations from the Reserve Bank of New Zealand (RBNZ) further contribute to the NZD's decline. Investors await the US Federal Reserve (Fed) interest rate decision, while the NZD's performance is influenced by global risk sentiment, Chinese economic health, and RBNZ policy.
Read more »
US Stock Futures Rise as Investors Weigh Trump's Executive Orders and EarningsUS stock futures edged higher on Tuesday following President Trump's inauguration and a flurry of executive orders. Investors are assessing the impact of these policies while anticipating a fresh wave of corporate earnings. The market awaits guidance on Trump's trade policies and the overall economic outlook.
Read more »
Amazon Earnings in Focus as Investors Await Updates on Cloud, Retail, and TariffsAmazon's fourth-quarter earnings report is expected to provide insights into the performance of its cloud and retail businesses, as well as the impact of President Trump's tariff threats. The company's cloud unit, Amazon Web Services (AWS), will be closely watched after Alphabet's recent cloud revenue disappointment. Analysts anticipate strong holiday sales and growth in AWS to drive earnings.
Read more »
Amazon shares slide as weak revenue outlook, AI spending rattle investorsToday's Business Headlines: 2/6/25
Read more »
Fed Minutes Spark Inflation Fears, Trump Policy Uncertainty Weighs on InvestorsMinutes from the Federal Reserve's December meeting revealed growing concerns about persistent inflation and the potential impact of President-elect Trump's policies. This news sent shockwaves through markets, driving up Treasury yields and raising anxieties about future economic prospects.
Read more »