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AMZU

Market cap $263M

Shares of Amazon (AMZN) slipped 5% October 10, joining other mega-cap growth stocks to the downside after the president renewed tariff threats against China. The specter of the White House potentially firing thousands of currently furloughed government workers didn't help matters for consumer cyclical stocks.

While advanced innovations such as artificial intelligence have buoyed the broader technology ecosystem, the sector has recently encountered significant pressure. As such, quite a few tech powerhouses have suffered volatility.

Nvidia has been sitting pretty atop the list of largest companies. After its fiscal year 2026 Q2 earnings, it sent a message that it plans to remain there.

Recent jobs data has been discouraging. Inflation remains too high for many consumers' taste.

When it comes to spending, big tech companies have their wallets wide open, ready to use the credit card with no limit if necessary. This is especially the case when it comes to cloud computing spending alongside artificial intelligence (AI).

Following Meta and Microsoft, the earnings bonanza continued for the market's biggest players, with Apple and Amazon next on the docket. Both beat out Wall Street estimates, sloughing off any notion that tariffs could negatively impact their final Q2 results.

If you're going to be part of the Magnificent Seven, you better do something that's, well

Only use financial instruments you fully understand; AMZU is designed for short-term speculation or hedging, not long-term holding. AMZU aims to deliver 2x Amazon's daily return, but compounding and volatility cause performance to diverge from AMZN over time. Leveraged ETFs like AMZU lose value over longer periods due to daily resets and time decay in derivatives, making them unsuitable for buy-and-hold investors.

As seasoned investors already know, the 24-hour news cycle can change markets quickly and swiftly. After weathering the tariff tantrum storm, downtrodden Magnificent Seven stocks are starting to look magnificent again thanks to U.S.-China trade deal news, but caution is always warranted.

While there's simply no denying the remarkable ascent of e-commerce and technology juggernaut Amazon.com Inc. AMZN, even the biggest stalwarts of industry are not completely immune to broader fundamental pressure. As the U.S. economy struggles under the weight of elevated inflation and trade tariffs, AMZN stock finds itself caught in a sentiment tug-of-war.