Nvidia Concerns Jolt Asian Markets Amid Trade War Tensions
Asian stock markets encountered volatility as concerns over Nvidia's China business affected regional suppliers, impacting shares like Taiwan Semiconductor and Samsung. While Chinese rivals like SMIC and Cambricon surged, Nvidia's revenue miss and geopolitical tensions added to the market's nervousness, fueling the Asian tech sector's fluctuations.
Asian stock markets witnessed a tumultuous session on Thursday, driven by anxieties surrounding Nvidia's operations in China, which are influenced by ongoing U.S.-China trade tensions. Concerns particularly hurt regional suppliers, affecting stocks such as Taiwan Semiconductor Manufacturing Company and Samsung Electronics.
While Nvidia's Chinese competitors experienced gains, broader apprehensions about Nvidia arose from a slight revenue shortfall and its geopolitical entanglements. Notably, SMIC's shares climbed 9.3%, while Cambricon Technologies saw an 8.2% increase, boosting the STAR 50 Index of Chinese growth stocks.
The uncertainty extended to currency and commodities markets, with the dollar on the defensive against the backdrop of potential Federal Reserve interest rate cuts. Despite some stability in European equities, overall market sentiment remained cautious amid fluctuating trade negotiations and central bank pressures.
(With inputs from agencies.)
Google News