Amazon Plunge, Fed Cut Odds Soar: Setup and Setup Market Recap – Aug 4, 2025

📊 Market Overview Global markets are starting the week with a distinct risk-off tone, driven by a cocktail of fresh US tariff concerns and a surprisingly weak US jobs report from Friday 1 2. The tech sector is a key battleground, with Amazon's sharp, earnings-driven plunge weighing on sentiment, while Microsoft's cloud strength provides a pocket of resilience 3 4. All eyes are on today's US ISM Services data, which will be critical for shaping the market's growing expectations for a Federal Reserve rate cut in September.

🔥 Top Movers

• AMZN (-8.27%): Shares plunged after Q2 results revealed AWS cloud growth lagged competitors, stoking fears about heavy AI spending and tariff impacts 3 5. The stock…