AI, Amazon — And Smart Bets: ETFs Are Splitting Winners From Losers In 2026

Core Insights - The article discusses how artificial intelligence and selective consumer trends are influencing the exchange-traded funds (ETFs) landscape in 2026, with varying impacts across different sectors. Group 1: Technology and Consumer Focus - Amazon.com is highlighted as a strong performer in the tech and consumer sectors, showing resilience despite market skepticism regarding capital expenditures [2][3] - The company has demonstrated robust results in retail, advertising, and Amazon Web Services (AWS), making it a significant holding in various tech-focused ETFs [3] - The market has undervalued the potential of AI, creating opportunities for companies effectively integrating AI into their operations, such as ServiceNow, Intuit, and Salesforce [4][5] Group 2: Consumer Spending Trends - U.S. consumer spending is characterized by a divide, with higher-income groups performing well while lower-income cohorts face challenges due to persistent inflation [6] - Value-oriented retailers like Walmart and Costco are gaining traction in retail-focused ETFs, while consumer staples ETFs provide exposure to more defensive segments [7] - Credit usage among consumers is increasing as they rely on credit to manage higher prices, indicating a selective spending pattern [8]