Amazon Lower On Year
Shares in tech giant Amazon are trading higher today ahead of the US open. The company’s stock price has been on a steady decline from the yearly highs printed above the 3400 level, taking price down to recent lows around the 3000 level.
The broader sell-off in equities markets and tech stocks, in particular, has leaned heavily on Amazon. With US yields on the rise amidst increasing US inflation expectations and with the dollar turning higher, stocks that saw strong rallies across 2020 have been hard hit; among them, Amazon.
Amazon Opens UK Grocer
However, there has been some good news for the company this week. Amazon has launched its first physical grocery retailer in the UK.
The Amazon fresh store, located in Ealing, London, uses till-less technology to allow shoppers to simply walk out with their items and be charged automatically to their registered payment details.
The tech giant already has similar stores in operation in the US but this marks the company’s first attempt at tackling the UK market.
Own Food Brand
Along with the opening of the store, Amazon has also launched two “own brand” food lines which are available for purchase in the store and will soon be available online also.
To use the store, shoppers simply scan their smartphone QR to enter and have their products automatically charged to them as they are tallied via on-shelf technology as each item is taken.
“Really Easy Shopping Experience”
Matt Birch, who formerly ran Sainsbury’s UK said:
“The focus was just creating a really easy shopping experience for customers. We recognize that UK customers want to shop in a convenient way so we really think they will appreciate being able to walk in and walk out with the shopping they need.”
The food ranges currently stocked are just an initial offering, with plans to scale up in time. In terms of what shoppers can expect, Birch said:
“everything from British milk to free-range eggs and butter, all the way through to our food-to-go sandwiches and prepared meals for the evening or a few days”
Amazon Sell-Off Continues
Shares in Amazon are continuing to move lower this week following the breakdown from the contracting triangle pattern which framed the recent price action.
Price has now broken below the 3103.51 level and is currently challenging the 2988.19 level which is holding as support or now.
If price breaks below here the next support note is the 2883.33 level with the 2793.58 level below.