Nvidia Earnings Eyed After Asia-Pacific Shares Fall Up to 2.1%
NVDA•Asia-Pacific shares fell up to 2.1% on Monday as oil prices rose following drone attacks in the Gulf, pushing bond yields to multi-month highs. Nvidia's quarterly results this week will be a key test of AI demand and could influence broader market sentiment.
1. Asia-Pacific Market Decline
On Monday, Asia-Pacific shares slipped, with the MSCI index down 0.6%, Japan’s Nikkei easing 0.4% and South Korea’s Kospi plunging 2.1%. Oil rose as Brent gained 1.2% to $110.63 a barrel and U.S. crude climbed 1.0% to $106.42 after drone attacks in the Gulf, while U.S. 10-year yields hit 4.584% and 30-year notes 5.109%.
2. Nvidia Earnings in Focus
Nvidia is set to report its fiscal second-quarter results later this week, with investors focused on data center revenue and AI chip margins. Strong figures could reinforce the AI-driven rally, whereas cautious guidance may dent sentiment across the semiconductor sector.
3. Bond Yields and Inflation Risks
Rising bond yields reflect concerns that central banks will tighten policy to curb inflation fueled by higher energy costs. Wednesday’s Fed meeting minutes will be scrutinized for clues on future rate moves and their potential impact on growth stocks like Nvidia.
