Breakfast Bites - Apple and Amazon warn on tariffs
US Jobs Report on deck; Buffett's meeting over the weekend + Tariff updates
Rise and shine everyone.
Today’s focus will be the US Employment report. Last month, the report came in much higher than expected at 228k but consensus estimates this time around has dropped to 130k. We’ve seen job openings start to come down, and the ADP data also showed a slump. While bad news for the economy, a lower NFP payroll number could actually see the market pricing in a higher probability of Fed cuts, given the moderation in inflation and negative GDP print.
US Equity Futures remain choppy, recovering much of the drop into the close and post Amazon and Apple’s earnings yesterday. But, the market recovered the entire move lower to flatten out.
Amazon reported strong Q1 earnings with 9% revenue growth to $155.7 billion and $17.1 billion in profit, beating expectations, but its cautious Q2 outlook reflected the uncertainty surrounding tariffs on Chinese imports. While the company hasn’t yet seen major pricing or demand shifts, it noted some consumer stockpiling, especially in tariff-sensitive categories.