Amazon shares surged 7.6% in premarket trading Monday, according to Barron's. The gains outpaced other Magnificent Seven stocks after the U.S. and China agreed to a 90-day suspension of most tariffs. The e-commerce giant stands to benefit directly from the deal, as many third-party sellers and 30% of Amazon’s first-party merchandise are sourced from China. Analysts also noted that Chinese advertisers spent roughly $8 billion on Amazon ads in 2024, according to Raymond James. The truce may ease investor concerns over reduced AI infrastructure spending, bolstering Amazon Web Services. The Roundhill Magnificent Seven ETF rose 5.6%, with Tesla the only stock climbing more than Amazon, up 7.8%.
