Prof G Markets Amazon’s $38 Billion OpenAI Deal — And Why We Were Already Bullish on the Stock
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Nov 4, 2025 
Ryan Petersen, founder and CEO of Flexport, shares insights on navigating the evolving tariff landscape and the strategic pauses companies face. He discusses the complex impact of tariffs on consumer prices and identifies winners and losers in the new trade dynamics. Dan Primack, business editor at Axios, analyzes the strategic motives behind Kimberly-Clark’s acquisition of Kenvue, touching on litigation risks affecting Kenvue's performance. The conversation also explores Amazon's $38 billion deal with OpenAI, highlighting its potential to position Amazon as a leader in AI and cloud competition.
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Rethinking Rapid Reshoring
- Rapid reshoring can be the right decision when tariffs change unpredictably and suddenly favor China again.
- Companies that moved production prematurely now face regret and higher effective tariffs than staying in China.
Tariffs Hit Wholesale, Not Full Retail
- Tariffs mainly affect wholesale costs and often translate to smaller consumer price increases after retail markups.
- A goods recession can lower prices as brands accept smaller margins to clear inventory.
Tariff Effects Are Still Emerging
- The tariff regime's recent start means price effects are still unfolding as brands decide strategies.
- Fraud and valuation misreporting may hide real tariff impacts from inflation statistics.