Asian equity markets extended their rally on Thursday, marking a third straight day of gains after Nvidia’s earnings beat expectations. The MSCI broadest index of Asia‑Pacific shares excluding Japan rose 0.7%, driven by a surge in technology hardware stocks that benefit from the AI chipmaker’s strong performance.
Nvidia’s earnings lift regional sentiment
In its quarterly report, Nvidia disclosed that revenue more than doubled from the prior year and projected third‑quarter sales above Wall Street estimates. The company’s shares jumped 4.7% in after‑hours trading, a move that also nudged S&P 500 e‑mini futures up 0.4%.
“The business is in absolutely rude health,” said Chris Weston, head of research at Pepperstone Group in Melbourne. “It’s going to wake people up and think ‘what have I missed?’ It’s a really bullish story and anyone supplying Nvidia through the supply chain will likely see the benefit today.”
Regional market moves
South Korea’s KOSPI climbed 1.5% after the Bank of Korea raised its policy rate by 25 basis points to 3%, matching market expectations. Taiwanese equities added 0.9%, while Japan’s Nikkei 225 slipped 0.4%.
U.S. inflation data and Fed outlook
U.S. markets were influenced by the latest personal consumption expenditures (PCE) index, the Federal Reserve’s preferred inflation gauge. July’s core PCE rose 0.2% from the prior month, after a 0.1% decline in June. Analysts at Societe Generale noted that the data suggested a “somewhat firmer” inflation backdrop heading into the September Federal Open Market Committee meeting.
The yield on the 10‑year Treasury fell 1.5 basis points to 4.647% as investors awaited Fed Chair Kevin Warsh’s remarks at the Jackson Hole symposium in Wyoming.
Commodities and currencies
Brent crude slipped 0.7% to $87.20 per barrel, marking a fourth consecutive day of decline. The price drop came as Qatar’s prime minister prepared to travel to Tehran to restart peace talks between the United States and Iran.
The U.S. dollar index held steady at 99.12, near its weekly high, while gold rose 0.7% to $4,624.14. In cryptocurrency markets, Bitcoin gained 0.8% to $79,043.18 and Ether rose 1.3% to $2,504.96, both benefiting from renewed “dollar debasement” trades after recent Treasury interventions in bond markets.
Implications for investors
Analysts see Nvidia’s earnings as a catalyst that could revive confidence in technology hardware and AI‑related supply chains across the region. The combination of strong corporate results and mixed U.S. inflation signals suggests that investors will continue to monitor both macroeconomic data and sector‑specific developments as they shape market direction in the weeks ahead.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
