Amazon shares closed down 5.95 percent on Friday at $2,852.86, down 12 percent this week as broad-cap sell-off weighed on tech stocks. This marks Amazon's worst weekly performance since it fell 13.4% in the week of December 21, 2018.
U.S. stocks tumbled on Friday as investors grappled with the prospect of higher interest rates and mixed corporate earnings. The Nasdaq Composite fell 1.9 percent on Friday, the S&P 500 fell 1.3 percent and the Dow Jones Industrial Average fell 1.3 percent.
Investors are increasingly worried that the Fed will have to raise interest rates several times this year in response to high inflation. Adding to investors' concern, Netflix unveiled disappointing user guidance on Thursday, causing its stock price to plunge more than 21 percent on Friday.
Netflix is the first major tech company to report earnings this season. Apple, Microsoft and Tesla are scheduled to report earnings next week.
Amazon plans to announce its fourth-quarter results on Feb. 3.