What's Going On With Amazon Shares

Amazon.com, Inc. AMZN shares are trading lower by 3.3% to $130.86 Thursday afternoon amid overall market weakness. Concerns about future rate hikes following yesterday's FOMC statement and lower-than-expected initial jobless claims data are sending stocks lower going into Tuesday's close.

Amazon's revenue heavily depends on consumer spending. When there are concerns about the labor market, as indicated by lower-than-expected jobless claims data, it can lead to worries about consumer sentiment and their ability to spend.

If consumers become more cautious due to economic uncertainty, it can impact Amazon's sales growth, which is closely monitored by investors.

Additionally, Amazon, like other large corporations, occasionally uses debt to finance its operations. When interest rates rise, the cost of servicing this debt can increase, potentially impacting the company's profitability.

What's Going On?

The Federal Reserve maintained the federal funds rate within the 5.25% to 5.5% range at its September meeting in a unanimous move.

The September dot plot reveals the median preference for the fed funds rate at the close of 2023 remains unwavering at 5.6%. This figure mirrors projections made back in June, hinting at the possibility of one more rate hike during either of the last two meetings this year...Read More

According to data from Benzinga Pro, AMZN has a 52-week high of $145.86 and a 52-week low of $81.43.