Asian Markets Stumble Ahead of Nvidia Earnings, US Jitters

Asian stock markets struggled on Wednesday, weighed down by caution over lofty tech valuations and nerves ahead of a highly anticipated earnings report from chipmaker Nvidia.

The tech-heavy Nasdaq fell 1.2% overnight, marking its second consecutive day of losses and retreating over 6% from its record peak in late October. In Asia, futures for the S&P 500 and Nasdaq 100 slipped a further 0.2%, while European futures dipped slightly and FTSE futures edged up 0.1%.

Japan’s Nikkei, which has been the hardest-hit major market in November with a roughly 7% drop in U.S. dollar terms, traded flat after giving up small gains. China’s main indexes held steady, while Hong Kong shares slipped 0.5%.

Investors’ attention remains firmly on Nvidia, whose graphics processing units power the booming artificial intelligence sector. The company is expected to report a 56% jump in revenue for its fiscal August-October quarter, with sales projected at $54.92 billion. Analysts warn that the stock may be priced for perfection, placing pressure on future GPU demand to sustain growth.

Bond Yields Climb Amid Rate Uncertainty

U.S. Treasury yields held steady as investors weighed the likelihood of a December Federal Reserve rate cut, now priced at roughly 42%, down from near-certainty a month ago. The benchmark 10-year yield stood at 4.12%, reflecting caution over potential inflation driven by political and fiscal developments.

In Japan, concerns over government spending pushed long-term bond yields to record highs, with the 10-year note hitting a 17-year top of 1.781% after a strong 20-year auction.

Cryptocurrency and Commodities Move Cautiously

Bitcoin rebounded slightly to $91,400, recovering from a seven-month low but still down nearly 27% from October’s peak. Analysts note that the pullback reflects reactions to equity market weakness and shifting rate expectations rather than the start of a bear market.

Currency markets were broadly quiet. The yen weakened to 155.45 per dollar, near levels where authorities have signaled possible intervention. The euro traded around $1.1580, while the Australian and New Zealand dollars fell roughly 0.5%.

Gold, which soared alongside stocks in October, fell back to $4,070, and Brent crude edged down to $64.68 per barrel. Meanwhile, soybeans reached a 17-month high after significant U.S. exports to China.

Overall, markets appear to be treading cautiously as investors balance optimism over tech-led growth with uncertainty over interest rates, government spending, and broader global economic trends.