Global markets steadied on Wednesday as investors awaited Nvidia’s highly anticipated earnings and the delayed US jobs report, with optimism in the tech sector tempered by caution over AI valuations. Wall Street recovered modestly, Europe stabilised after a four-day slide, and Asia traded mixed amid rising China–Japan tensions and shifting rate expectations.
US stocks moved mostly higher on Wednesday as investors looked to recover from a tech-led sell-off and awaited Nvidia’s closely watched earnings, seen as a key moment for the AI-driven market rally. The NASDAQ rose +0.5%, the S&P 500 gained +0.4%, while the DOW closed little changed. Nvidia advanced +2.2% ahead of its third-quarter results due after the close, with analysts expecting strong AI chip demand to fuel another earnings beat. Alphabet (+3.6%) hit a new all-time high after launching its Gemini 3 AI model to strong reviews, helping lift broader tech sentiment. Meanwhile, investors looked ahead to the long-delayed September jobs report due for release this week, while the Bureau of Labor Statistics announced that the October employment data will be published alongside November’s figures in December following disruptions from the government shutdown. US Treasury yields edged lower, with the US two-year yield losing -2bp to 3.579% and the 10-year yield dropping -1bp to 4.113%.
European equities stabilised, snapping a four-day losing streak as investors cautiously returned to risk assets ahead of Nvidia’s earnings. The STOXX 600 ended flat, while Germany’s DAX and France’s CAC 40 slipped -0.1% and -0.2% respectively. The FTSE 100 dipped -0.5% as profit-taking took place despite softer UK inflation data, which has bolstered hopes for a pre-Christmas Bank of England rate cut. Kering slid -4.2% after warning that its turnaround will take longer and require store closures, while Nokia tumbled -7.0% after outlining a major reorganisation and new long-term AI strategy at its Capital Markets Day.
Asian equities ended mostly lower on Wednesday as investors awaited Nvidia’s results, the delayed US September jobs report, and minutes from the latest Federal Reserve meeting. China’s Shanghai Composite edged up +0.2% after a successful €4 billion sovereign bond sale drew record demand, even as Beijing escalated its retaliation against Japan—suspending seafood imports and halting new film approvals in response to Tokyo’s stance on Taiwan. Hong Kong’s Hang Seng fell -0.4% amid ongoing AI valuation concerns and deepening China–Japan tensions. Japan’s Nikkei 225 slipped -0.3% for a fourth session as rising government bond yields weighed on sentiment, while South Korea’s Kospi lost -0.6% as global tech weakness dragged on chipmakers. Australia’s ASX 200 eased -0.3% as shifting rate expectations kept trading subdued, though Webjet jumped +16.6% on a takeover approach from Helloworld (+1.7%). Droneshield (-19.6%) plunged after another executive departure, while New Zealand’s NZX 50 edged down -0.1% as investors digested mixed corporate updates, though Sanford jumped +6.0% on strong demand in export markets.
WTI crude fell -2.3% to US$59.32/bbl; gold increased +0.3% to US$4,079.39/oz; and iron ore slid -0.1% to US$104.31/MT.