Shares Crash As Trump Slams Amazon Again, Local Retailers “Love It”
The US Stock market has plunged due to comments by Trump and a decision by Apple to manufacture their own processors.
President Trump’s escalating war of words against Amazon has continued over the Easter weekend with the Dow Jones industrial average plunged 700 points overnight.
Shares in Amazon plunged 5.2 percent to $1,372.84 bringing the stock 14 percent below its March 12 high of $1,598.39.
Trump claims that Amazon is becoming a monopoly and is a danger to high street retail and supply Companies.
One Australian CE retailer told ChannelNews “I am more than happy to see Donald Trump wade into this fight. I love it.”
Yesterday Trump repeated his claims from last week that Amazon has been taking advantage of the US Postal Service.
“Also, our fully tax paying retailers are closing stores all over the country…not a level playing field!” Trump added.
Trump has long criticized Amazon, but his jabs intensified over the last week following an Axios report that said he was “obsessed” with regulating the company. How the USPS fares in its business relationship with Amazon is not fully known.
“President Trump’s comments are consistent with industry sources we have spoken to in the shipping industry, who often label Amazon’s deal with the USPS as a sweetheart deal,” DA Davidson analyst Tom Forte wrote in a note.
“An argument, however, could be made that the USPS was losing billions before it expanded its service offerings for Amazon and would, still, likely lose billions if Amazon discontinued its use of the USPS tomorrow,” Forte said.