Asian equities fell on Thursday as investors reacted to President Donald Trump’s latest tariff announcements and Nvidia Corp.’s disappointing earnings report.
Trump’s comments sparked confusion, with tariffs on US neighbors set to take effect next month. This contradicted his previous statements, leaving investors uncertain about the timing and extent of the tariffs.
Nvidia shares plummeted in after-hours trading, despite delivering good but not great quarterly numbers. The chipmaker warned that gross profit margins would be tighter than expected due to its new chip design, Blackwell.
The mixed outlook comes at a critical time for the AI industry, with concerns about data center operators slowing spending and Chinese startups developing affordable chatbots potentially reducing demand for Nvidia’s powerful chips.
“China software companies now have access to a very competitive model,” said Edward Chan, senior investment analyst at Mirae Asset Global Investments. “This changes the whole China tech industry.”
The US dollar rose, while Treasury yields inched higher. European equity index futures declined as much as 0.9% after Trump’s comments.
In other markets, Bitcoin fell to around $84,000, and gold declined. Oil steadied near its lowest close this year, while Australian yields fell.
The mixed signals from Trump’s administration and Nvidia’s disappointing earnings have investors on edge, with many looking for signs of a turnaround in the AI industry and the global economy.
Source: https://finance.yahoo.com/news/asian-shares-set-fall-nvidia-224955209.html