The US stock market bounced back in a big way this week. The US and China agreed to a 90-day tariff suspension, so investors gathered on Wall Street as many companies saw their stocks jump to value. The reversal rekindled one ongoing debate between Amazon (AMZN) and Nvidia (NVDA). Both are watching at a pace to join the $4 trillion club.
The company has emerged as two of the most powerful brands in the 7 grand. Plus, on the worst day of the market this year, it exploded to break through the $3 trillion mark. The question is, which one has jumped another $1 trillion and set a new all-time record?
Amazon & Nvidia Racing to History: Which will reach $4 trillion in the first place?
The US stock market has been working well this week after months of volatility in the first few months of the year. Specifically, the S&P 500 jumped five times in a row. Both the Nasdaq and Dow Jones indexes are green each week. Performance has led to a growing optimistic rise in many mega cap stocks as Q2 drops down and operates.
This performance sparked a particular debate between two major companies around the world. In fact, traders are beginning to question whether Amazon (AMZN) or Nvidia (NVDA) will first reach a $4 trillion market capitalization figure. There’s certainly a leader at this point, but that remains in everyone’s game.
At the end of Friday’s deal, Nvidia was clearly ahead of the e-commerce giant. Specifically, AI chip makers have recovered the spot as the second largest company in the world. In fact, on the weekly jump, that reached $3.312 trillion.
What’s far ahead of Amazon is ranked fourth on the list with a market capitalization figure of $2.172 trillion. However, there are several reasons why the race is still in the air. Firstly, the ongoing tariff drama is real and already has a major impact on Nvidia.
US President Donald Trump is increasingly whimsical about his import obligations. It can resume as quickly as it was suspended after a 90-day suspension. Nvidia signed a deal with Saudi Arabia this week, but there are still concerns about its business in China and how it will be affected by geopolitical tensions.
Which one will be the top?
Amazon is on quite different boats and is much more diverse. The company’s Amazon Web Services (AWS) Business, along with e-commerce and advertising entities, is the world’s top cloud computing company. It gave hope to skyrocket the market capitalization ranking amid recent tariff concerns that hit Apple (AAPL).
At this moment, Nvidia still appears to be poised to reach $4 trillion in the first place. It was unstable, but has an impressive track record of profits. In 2024, there was a surge in over 174% throughout the year. If we can reflect such an increase, we should be focusing on our market value history for 2025.
