Amazon - OpenAI deal lifts tech while strong dollar pressures other sectors

Intro

Today we are looking at how markets reacted after Amazon announced a multi-year, 38 billion dollar cloud deal with OpenAI. The news helped push major tech indexes higher, while a stronger dollar and uncertain Fed path reshuffled winners and losers beneath the surface.

Winners -

AI and cloud megacaps – $AMZN $MSFT $GOOGL

Amazon shares jumped over 4 percent after agreeing a multi-year 38 billion dollar deal for OpenAI to run its AI workloads on Amazon Web Services. That reinforces the idea that hyperscale cloud providers are at the centre of the AI boom and supports the broader narrative for Microsoft and Alphabet as they also invest heavily in AI data centres and cloud infrastructure.

AI chips and infr ...