Asian shares traded cautiously on Wednesday as investors awaited Nvidia’s highly anticipated third-quarter earnings, with significant risks of potential disappointment. The dollar, meanwhile, steadied after three consecutive sessions of losses.
Nvidia, the world’s most valuable chipmaker, is set to report results after the market close. Its shares surged 4.9% on Tuesday, with options suggesting a nearly 9% swing in either direction for the $3.6 trillion company, often seen as a benchmark for the tech sector’s AI transition.
Nasdaq futures climbed 0.2% on Wednesday, adding to a 1% gain in the previous session. EUROSTOXX 50 futures rose 0.4%, while FTSE futures remained unchanged.
The MSCI Asia-Pacific index, excluding Japan, dipped 0.1%, while Japan’s Nikkei declined by 0.2%.
Bitcoin held steady above $92,000 after crossing the $94,000 mark for the first time, buoyed by expectations that U.S. President-elect Donald Trump’s administration would be favorable toward cryptocurrency. Investors are also eyeing Trump’s upcoming pick for Treasury Secretary, expected as early as Wednesday.
In China, the central bank kept benchmark lending rates unchanged as anticipated. Chinese stocks outperformed, with blue-chip shares rising 0.4%, while Hong Kong’s Hang Seng Index edged up 0.1%.
“Nvidia remained the central focus,” noted Joshua Meyers, executive director at JPMorgan. “Overall, a strong performance is widely expected tomorrow, but the elevated FY26 projections are increasingly a concern in discussions.” Meyers also emphasized the importance of Nvidia CEO Jensen Huang’s comments during the earnings call to manage market expectations effectively.
Investors were unsettled overnight by Ukraine’s use of U.S. missiles in strikes against Russia, prompting Moscow to lower its threshold for a potential nuclear response. However, these concerns appeared to ease somewhat by morning.
Safe-haven assets like the Japanese yen, Swiss franc, and U.S. Treasuries saw brief gains. Benchmark 10-year Treasury yields rose 2 basis points to 4.4041%, recovering from a 4 bps drop overnight but still below the recent five-month high of 4.505%.
The dollar pared some of its losses against the yen, rising 0.2% to 155.03 after hitting a one-week low of 153.28 overnight. Against a broader basket of major currencies, the dollar stabilized at 106.23, near one-week lows, following three consecutive sessions of declines from its recent peak of 107.07.
Oil prices remained steady on Wednesday, with U.S. West Texas Intermediate crude holding at $69.39 per barrel after a modest 0.3% gain on Tuesday.
Gold extended its rally for a third consecutive session, rising 0.2% to $2,636.46 per ounce.
