Investors have shifted away from growth stocks and toward value stocks due to rising rate fears; making future profits including those from growth companies less appealing. Big Tech companies are plummeting because of rising interest rates in the United States, as well as investors shifting to value and cyclical trades.
Amazon's (NASDAQ: AMZN) stock dropped by as much as 2.2% on Thursday. A bullish Wall Street analyst's comment about a competitor – Microsoft – was the impetus that pushed the e-commerce and cloud computing giant lower. Daniel Ives, the Wedbush analyst, released the results of his quarterly cloud computing channel checks. Ives was bullish on Microsoft's (NASDAQ: MSFT) prospects which he said is ominous for Amazon's AWS.