A spate of fresh data this week showed consumers are feeling the sting from high inflation. While that likely means more pain for retail stocks, new Wall Street research suggests club holding Amazon (AMZN) is consumers’ most preferred online shopping platform, buttressing the Club’s long-term belief in the e-commerce giant. Consumer spending was flat month-over-month in September, according to an estimate of retail sales for the month provided by the Commerce Department on Friday. But those figures were not adjusted for inflation, indicating that consumer spending on retail actually fell last month. The retail sales data came on the back of the latest consumer price index survey , which showed consumer prices rose 0.4% in September, the Bureau of Labor Statistics reported Thursday, all but ensuring another 75 basis point interest rate hike from the Federal Reserve next month. Meanwhile, a consumer survey from the University of Michigan showed inflation expectations were increasing, sending stocks lower Friday. The S & P 500 closed down more than 2%. The Wall Street view In this environment of rising prices, Baird surveyed roughly 1,000 online shoppers, with a majority saying they plan to spend less on holiday purchases this year compared to last year. But while consumers are tempering their discretionary budgets this holiday season, Amazon remains their shopping platform of choice, according to Baird. Amazon is the “clear leader” in the online shopping internet space among U.S. consumers, capturing almost 60% of market share, Baird analysts wrote in a research note Friday. In a separate note Thursday, Cowen said its shopping survey of Gen Z and Millennials showed Amazon to be their “most preferred” shopping website. Respondents said speed of delivery and convenience were key factors for shopping on Amazon, outweighing price concerns, according to analysts at Cowen. The new research comes the same week as Amazon’s two-day Prime Early Access Sale , the initial results of which showed that while Amazon may remain a top online retail destination it’s not immune from inflationary pressures. Amazon said Prime members bought more than 100 million items during the sales event, compared to the record 300 million items purchased during Amazon’s July Prime Day event. Bank of America estimated Amazon’s sales event brought in $8 billion in gross merchandise value (GMV), down 25% from July’s $10.7 billion in GMV, according to a research note published Friday. Shares of Amazon, which have fallen more than 35% year-to-date, closed down 5% Friday, at $106.9 a share. The Club take We’re happy to see that Amazon is the preferred platform for consumer shopping — but we also know its so much more than that. For example, its cloud business, Amazon Web Services, consistently posts robust revenue growth and delivers high profit margins, allowing us to be bullish on the company despite growing macroeconomic headwinds. Furthermore, Amazon’s nascent agreement with the National Football League to stream “Thursday Night Football” on Prime Video has attracted a record number of Prime signups and should support advertising revenue growth. The Club continues to rate Amazon a 1, meaning we’d buy the stock here. (Jim Cramer’s Charitable Trust is long AMZN. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
An Amazon Prime truck is pictured as it crosses the George Washington Bridge on Interstate Route 95 during Amazon’s two-day “Prime Early Access Sale” shopping event for Amazon members in New York, October 11, 2022.
Mike Segar | Reuters
A spate of fresh data this week showed consumers are feeling the sting from high inflation. While that likely means more pain for retail stocks, new Wall Street research suggests club holding Amazon (AMZN) is consumers’ most preferred online shopping platform, buttressing the Club’s long-term belief in the e-commerce giant.
Inside a secretive set of buildings in Santa Barbara, California, scientists at Alphabet are working on one of the company’s most ambitious bets yet. They’re attempting to develop the world’s most advanced quantum computers.
“In the future, quantum and AI, they could really complement each other back and forth,” said Julian Kelly, director of hardware at Google Quantum AI.
Google has been viewed by many as late to the generative AI boom, because OpenAI broke into the mainstream first with ChatGPT in late 2022.
Late last year, Google made clear that it wouldn’t be caught on the backfoot again. The company unveiled a breakthrough quantum computing chip called Willow, which it says can solve a benchmark problem unimaginably faster than what’s possible with a classical computer, and demonstrated that adding more quantum bits to the chip reduced errors exponentially.
“That’s a milestone for the field,” said John Preskill, director of the Caltech Institute for Quantum Information and Matter. “We’ve been wanting to see that for quite a while.”
Willow may now give Google a chance to take the lead in the next technological era. It also could be a way to turn research into a commercial opportunity, especially as AI hits a data wall. Leading AI models are running out of high-quality data to train on after already scraping much of the data on the internet.
“One of the potential applications that you can think of for a quantum computer is generating new and novel data,” said Kelly.
He uses the example of AlphaFold, an AI model developed by Google DeepMind that helps scientists study protein structures. Its creators won the 2024 Nobel Prize in Chemistry.
“[AlphaFold] trains on data that’s informed by quantum mechanics, but that’s actually not that common,” said Kelly. “So a thing that a quantum computer could do is generate data that AI could then be trained on in order to give it a little more information about how quantum mechanics works.”
Kelly has said that he believes Google is only about five years away from a breakout, practical application that can only be solved on a quantum computer. But for Google to win the next big platform shift, it would have to turn a breakthrough into a business.
An attendee wearing a Super Mario costume uses a Nintendo Switch 2 game console while playing a video game during the Nintendo Switch 2 Experience at the ExCeL London international exhibition and convention centre in London, Britain, April 11, 2025.
Isabel Infantes | Reuters
Nintendo on Friday announced that retail preorder for its Nintendo Switch 2 gaming system will begin on April 24 starting at $449.99.
Preorders for the hotly anticipated console were initially slated for April 9, but Nintendo delayed the date to assess the impact of the far-reaching, aggressive “reciprocal” tariffs that President Donald Trump announced earlier this month.
Most electronics companies, including Nintendo, manufacture their products in Asia. Nintendo’s Switch 1 consoles were made in China and Vietnam, Reuters reported in 2019. Trump has imposed a 145% tariff rate on China and a 10% rate on Vietnam. The latter is down from 46%, after he instituted a 90-day pause to allow for negotiations.
Nintendo said Friday that the Switch 2 will cost $449.99 in the U.S., which is the same price the company first announced on April 2.
“We apologize for the retail pre-order delay, and hope this reduces some of the uncertainty our consumers may be experiencing,” Nintendo said in a statement. “We thank our customers for their patience, and we share their excitement to experience Nintendo Switch 2 starting June 5, 2025.”
The Nintendo Switch 2 and “Mario Kart World“ bundle will cost $499.99, the digital version “Mario Kart World” will cost $79.99 and the digital version of “Donkey Kong Bananza” will cost $69.99, Nintendo said. All of those prices remain unchanged from the company’s initial announcement.
However, accessories for the Nintendo Switch 2 will “experience price adjustments,” the company said, and other future changes in costs are possible for “any Nintendo product.”
It will cost gamers $10 more to by the dock set, $1 more to buy the controller strap and $5 more to buy most other accessories, for instance.
An employee walks past a quilt displaying Etsy Inc. signage at the company’s headquarters in the Brooklyn.
Victor J. Blue/Bloomberg via Getty Images
Etsy is trying to make it easier for shoppers to purchase products from local merchants and avoid the extra cost of imports as President Donald Trump’s sweeping tariffs raise concerns about soaring prices.
In a post to Etsy’s website on Thursday, CEO Josh Silverman said the company is “surfacing new ways for buyers to discover businesses in their countries” via shopping pages and by featuring local sellers on its website and app.
“While we continue to nurture and enable cross-border trade on Etsy, we understand that people are increasingly interested in shopping domestically,” Silverman said.
Etsy operates an online marketplace that connects buyers and sellers with mostly artisanal and handcrafted goods. The site, which had 5.6 million active sellers as of the end of December, competes with e-commerce juggernaut Amazon, as well as newer entrants that have ties to China like Temu, Shein and TikTok Shop.
By highlighting local sellers, Etsy could relieve some shoppers from having to pay higher prices induced by President Trump’s widespread tariffs on trade partners. Trump has imposed tariffs on most foreign countries, with China facing a rate of 145%, and other nations facing 10% rates after he instituted a 90-day pause to allow for negotiations. Trump also signed an executive order that will end the de minimis provision, a loophole for low-value shipments often used by online businesses, on May 2.
Temu and Shein have already announced they plan to raise prices late next week in response to the tariffs. Sellers on Amazon’s third-party marketplace, many of whom source their products from China, have said they’re considering raising prices.
Silverman said Etsy has provided guidance for its sellers to help them “run their businesses with as little disruption as possible” in the wake of tariffs and changes to the de minimis exemption.
Before Trump’s “Liberation Day” tariffs took effect, Silverman said on the company’s fourth-quarter earnings call in late February that he expects Etsy to benefit from the tariffs and de minimis restrictions because it “has much less dependence on products coming in from China.”
“We’re doing whatever work we can do to anticipate and prepare for come what may,” Silverman said at the time. “In general, though, I think Etsy will be more resilient than many of our competitors in these situations.”
Still, American shoppers may face higher prices on Etsy as U.S. businesses that source their products or components from China pass some of those costs on to consumers.
Etsy shares are down 17% this year, slightly more than the Nasdaq.