Amazon Stock Tumbles 4.5% on AI Spending Concerns and Regulatory Scrutiny

Amazon's stock price has taken a hit ahead of its July 30 earnings report, falling 4.5% to around $233 as investors reassess the company's aggressive investment strategy in AI and cloud infrastructure.

The decline comes amid growing concerns over Amazon's spending on data centres, cloud infrastructure, and AI capacity, which has put pressure on cash generation.

AWS growth, e-commerce performance, and management's outlook for capital expenditures will be closely watched as the company faces increased regulatory scrutiny in multiple markets.