SINGAPORE: Asian shares posted modest gains on Thursday after Nvidia forecast first-quarter revenue above market estimates, easing fears that Big Tech could curb spending on AI processors. Still, the results failed to spark a fresh rally in U.S. futures, as investors — used to Nvidia beating expectations by wide margins — looked for a stronger upside surprise.
Nasdaq futures slipped 0.3% and S&P 500 futures fell 0.2%. In Europe, EUROSTOXX 50 futures and FTSE futures were down 0.2% and 0.08% respectively.
In Asia, Japan’s Nikkei rose 0.15% and South Korea’s KOSPI jumped 3%. MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.65%. Hong Kong’s Hang Seng fell 0.76% and China’s CSI300 eased 0.2%.
Market strategists said Nvidia’s update delivered relief rather than excitement, as the debate shifts from near-term earnings to the durability of global AI capital expenditure, valuations across the supply chain, and intensifying competition.
In currencies, the Japanese yen remained in focus after trading near a two-week low in the wake of government nominations for two academics to join the Bank of Japan’s board — a move markets read as potentially favouring easier policy and complicating the outlook for further BOJ rate hikes. The yen recovered some ground on Thursday, rising 0.3% to 155.88 per dollar, helped by comments from BOJ board member Hajime Takata calling for gradual interest-rate increases. Japan’s Yomiuri newspaper also reported BOJ Governor Kazuo Ueda left the door open to a near-term hike.
The dollar was on the back foot, with the euro up 0.1% at $1.1821, while sterling was steady at $1.3561.
Oil prices stayed firm as geopolitical tensions kept supply risks in focus ahead of a new round of U.S.-Iran talks in Geneva later on Thursday. Brent rose 0.28% to $71.05 a barrel and U.S. crude gained 0.24% to $65.58. Gold rose 0.5% on safe-haven demand._Reuters
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