Stocks Advance Ahead of Nvidia as Oil Extends Its Slide – Asia Market Wrap
Global equities rose as Asian semiconductor makers advanced ahead of Nvidia’s results, with traders positioning for the AI bellwether to deliver another beat. Oil extended its decline. MSCI’s Asia Pacific gauge climbed 1%, led by Samsung and SK Hynix. Chip stocks also advanced on Wall Street, with Nvidia snapping a seven-day losing streak heading into its earnings Wednesday. US equity-index futures pared earlier losses to trade little changed as sentiment improved, while European shares were set for modest gains.
Brent added to the mood, falling for a third straight day as Iran and Oman discussed an “interim framework” aimed at resuming shipping through the Strait of Hormuz. The commodity dropped 2.6% to around $86.30 a barrel, extending its decline this week to 8.6%. The retreat in oil eased inflation concerns and helped fuel a rally in bonds. Treasuries held Tuesday’s gains, with the 10-year yield down 7 bps. Government bonds in Japan and New Zealand also advanced, while those in Australia erased earlier gains and fell after an inflation report boosted bets on an interest-rate hike.
The Canadian Dollar weakened after Prime Minister Carney matched new tariffs imposed by Trump and unveiled support for businesses hurt by the escalating trade dispute with Canada’s largest trading partner. The US is weighing additional trade measures against Canada in retaliation, keeping the standoff a live risk for North American markets.
Nvidia’s earnings remain the week’s focal point, with the scale of any beat likely to determine whether the rally in chip stocks and the broader AI trade can extend. The trajectory of the Canada-US tariff dispute is also one to watch, given the potential for further measures to weigh on sentiment.
Gold slipped 0.4% to $4,640 an ounce, while Bitcoin edged higher to trade around $79,000. In Asia, Samsung and SK Hynix each rose nearly 3%, helping lift the Kospi — the world’s second-best-performing major gauge this year — by as much as 2%.
