Mixed Performance in Asian Markets as Chinese Stocks Decline Following Wall Street’s Pullback

Asian shares were trading mixed on Thursday, with investor sentiment in Tokyo receiving a boost from news of soaring Nvidia earnings. Japan’s benchmark Nikkei 225 gained 1.3% to 39,103.22, while Australia’s S&P/ASX 200 sank 0.5% to 7,811.80. South Korea’s Kospi added 0.1% to 2,726.33, but Hong Kong’s Hang Seng slipped 1.6% to 18,892.21, and the Shanghai Composite shed 1.2% to 3,120.35.

Semiconductor-related issues were on the rise following the news that Nvidia’s profit had skyrocketed above forecasts, with quarterly net income climbing more than sevenfold from a year earlier to $14.88 billion. Revenue more than tripled for the iconic brand behind the recent artificial intelligence boom.

In other news, the Bank of Korea kept its policy rate unchanged, as was widely expected. On Wall Street, indexes retreated from their records as concerns about high interest rates weighed on the market. The S&P 500 fell 0.3% to 5,307.01, the Dow Jones Industrial Average sank 0.5% to 39,671.04, and the Nasdaq composite slipped 0.2% to 16,801.54 after setting its latest record.

The bond market saw the yield on the 10-year Treasury rise to 4.42% from 4.41%, with the two-year yield also climbing. The Federal Reserve’s minutes from its last policy meeting indicated that it may take longer than previously thought to get inflation fully under control, leading to concerns among investors. Despite some reports showing softening in inflation and certain parts of the U.S. economy, the Fed remains cautious about cutting rates too soon.