Amazon Breaks $3 Trillion Mark as Tied ETFs Soar

Amazon's impressive Q2 earnings results have sent shockwaves through the market, pushing its market cap above $3 trillion. The company reported EPS of $5.75 against a consensus of $1.82, with revenue growing 20% year over year to $200.6 billion.

The ETFs tied to Amazon's performance are also seeing significant gains, but in different ways. AMZU, a 2X daily leveraged single-stock ETF, has delivered the largest weekly gain at 47%, doubling down on Amazon's 23% surge.

However, this leverage comes with a cost: decay in choppy tape means that AMZU is only up 33% over the trailing year, despite Amazon stock being up 32% over the same period. In contrast, AMZW's weekly-income options overlay has captured a solid 27% while paying weekly income, but giving up some upside to the options overlay.

AMZY's covered-call strategy generated monthly income, with a return of 18%, but also capped its upside during Amazon's rally.