Global Markets:
- Asian Stock Markets : Nikkei down 0.42%, Shanghai Composite down 0.3%, Hang Seng down 0.4% ASX down 0.33%
- Commodities : Gold at $2553.35 (0.59%), Silver at $30.03 (1.271%), Brent Oil at $77.6 (0.29%), WTI Oil at $74.72 (0.28%)
- Rates : US 10-year yield at 3.841, UK 10-year yield at 4.002, Germany 10-year yield at 2.273
News & Data:
- (USD) Crude Oil Inventories -0.8M vs -2.7M expected
Markets Update:
Asia-Pacific markets declined on Thursday, led by a slump in tech stocks following chipmaker Nvidia’s second-quarter earnings report. Nvidia’s results for the quarter ending in July exceeded Wall Street’s expectations, with revenue reaching $30 billion—a 15% increase from the previous quarter and a 122% surge year-over-year. Despite these strong figures and a $50 billion share buyback authorization, Nvidia’s shares dropped 8% in after-hours trading.
Investors in Asia are closely monitoring potential ripple effects on regional tech stocks, especially those connected to Nvidia’s supply chain, such as Taiwan Semiconductor Manufacturing Company (TSMC) and SK Hynix. In South Korea, SK Hynix tumbled over 5%, and Samsung Electronics fell more than 2.6%, pulling the Kospi index down by 0.71%. The Kosdaq, dominated by smaller companies, also fell by 0.74%.
Taiwan’s Weighted Index led regional losses, declining 1.14%. TSMC shares dropped 2.07%, while Hon Hai Precision Industry, known globally as Foxconn, fell 2.16%. Japan’s Nikkei 225 and the broader Topix were down 0.42% and 0.24%, respectively. In Australia, the S&P/ASX 200 dipped 0.3%, and Hong Kong’s Hang Seng index slipped 0.4%. The mainland Chinese CSI 300 lost 0.31%.
Meanwhile, U.S. markets also experienced declines before Nvidia’s report, with the Nasdaq Composite down 1.12%, the S&P 500 slipping 0.6%, and the Dow Jones Industrial Average losing 159.08 points, or 0.39%.
Upcoming Events:
- 12:30 PM GMT – USD Prelim GDP q/q
- 12:30 PM GMT – USD Unemployment Claims
