New Tariff Threats Give Market Indexes a Haircut

Market Overview - President Trump has threatened new tariffs against South Korea and Japan, potentially adding +25% tariffs if no new trade deals are established by the end of July [3] - The Dow closed down -422 points (-0.94%), S&P 500 down -49 points (-0.79%), and Nasdaq down -188 points (-0.92%) [2] - Bond yields increased slightly, with the 10-year yield rising from +4.36% to +4.39% and the 2-year yield from +3.88% to +3.90% [2] Amazon Prime Day - Amazon's Prime Day has expanded from one day to four days, running from July 8th to July 11th, doubling the previous two-day event [5] - Last year's Prime Day generated a record-high $14.2 billion in sales, reflecting an +11% year-over-year increase [5] - BofA securities analyst estimates Gross Merchandise Value for this year's Prime Day to exceed $21 billion [6] Amazon Financial Performance - Amazon shares are currently nearly $20 below their all-time high from February but are above the low point reached in late April [7] - Zacks consensus estimates project +7.3% earnings growth and +9.5% revenue growth for Amazon's Q2 results [7] - The company has a track record of 10 consecutive quarters of earnings beats, with a trailing 4-quarter average growth of over +20% [7]