Amazon shares are riding a five-day win streak, outpacing both its Big Tech peers and the broader market. While still off all-time highs, there has been lots to like about the e-commerce and cloud giant. Over the five days ended Tuesday, Amazon is up 12% — beating Meta (up 10%) Apple (8.5%) and Microsoft (3.6%), as well as the S & P 500 (up just 4.5%). One big reason for outperformance: the cooling of the trade battle between the United States and China. The world’s two biggest economies agreed to suspend most tariffs on each other’s goods for 90 days , a sign the governments are making progress in their negotiations. “Amazon is rebounding nicely as a lot of fears around China tariffs and a possible recession come off,” said Jeff Marks, director of portfolio analysis. He noted that those factors had “put a lid on the stock.” The tariff rule is a huge win for Amazon, as more than 30% of its third-party products — and advertising for those products — come from China. Elevated tariffs – particularly those placed on goods imported from China – could result in higher costs for Amazon and its sellers, in addition to potential supply chain disruptions, making it increasingly difficult to source products from the country. Instead, the lower tariffs “should provide relief for online retailers to normalize supply chains, which should benefit the both the online advertising and e-comm subsectors [including Amazon],” Bank of America wrote Monday in a note to clients. Another tailwind: Amazon struck a deal with FedEx on Monday to help deliver large packages to U.S. homes, a role that Amazon that had belonged to UPS, which recently said it would cut back on deliveries as it focuses on profitability. Amazon’s partnership with FedEx Amazon should help manage delivery costs, and Amazon has a long-term goal of reducing its cost to serve customers which ultimately allows the company to improve its bottom line. Amazon Web Services (AWS) said on Tuesday is investing $5 billion in Saudi Arabia to help build artificial intelligence infrastructure. It will partner with new Saudi company Humain to bring cloud services, AI tools and tech training to the region. CEO Andy Jassy was in Riyadh on Tuesday for the Saudi Arabia Investment Forum , discussing the AI boom and global trade. Lastly, Amazon Prime Video’s ad-supported tier surpassed 130 million active users in the U.S., a 13% increase from the 115 million previously reported last year, The Hollywood Reporter’s Alex Weprin reported. Amazon Prime Video’s ad-supported tier has surpassed 130 million active users in the U.S., a 13% increase from the 115 million previously reported last year, according to The Hollywood Reporter . We don’t like to read too much into multi-day winning streaks. In fact, the stock looked likely to take a breather on Wednesday. But that doesn’t change all the good news for Amazon. We last bought Amazon shares on Apr. 15 at roughly $180, recognizing that the stock being down 25% from…
Read More: Here are things driving the 5-day winning streak in Amazon stock
