Stock Markets in Asia Climb Due to Nvidia's Earnings Beat
Asian markets ended mostly higher on Thursday, with investors bracing for Nvidia's results in the upcoming quarter and concerns over Fed independence and Mexican tariff increases on Chinese imports taking a backseat.
The Shanghai Composite Index jumped 1.1 percent, with Chinese stocks rallying as Nvidia's Chinese competitors surged. Cambricon Technologies soared 15.7 percent and SMIC shares surged 11 percent.
Japanese markets advanced after Warren Buffett increased his investments in the country. Mitsubishi Corp. gained 1.9 percent due to an increased stake by a unit of Warren Buffett's Berkshire Hathaway.
Hong Kong's Hang Seng Index slid 0.8 percent, while Australian markets inched up modestly. The S&P/ASX 200 Index was at 8,980 and the All Ordinaries Index was at 9,241.10.
In the U.S., U.S. stocks ended higher overnight, with the S&P 500 reaching a new record closing high, the Dow adding 0.3 percent, and the Nasdaq Composite edging up by 0.2 percent.
The U.S. government has announced plans to increase tariffs on Chinese imports such as cars, textiles, and plastics as part of its 2026 budget proposal. These reciprocal tariffs on goods of Chinese origin were raised to 125% effective April 9, 2025, in addition to existing supplementary tariffs and specific additional duties, with some exceptions like steel, aluminum, copper, vehicles, and certain electronics.
However, these concerns did not seem to have a significant impact on Asian markets, as investors focused on the strong results reported by Nvidia, which quelled worries over weakening AI demand.
Elsewhere, the dollar struggled in Asian trading, while gold prices remained steady around $3,395 per ounce and oil prices declined due to concerns about market surplus.
New Zealand's benchmark S&P/NZX-50 Index closed up 0.3 percent at 12,903.08.
In a separate development, Meituan warned of losses due to competition with Alibaba, causing Meituan shares to plunge 12.6 percent, but this news did not seem to have a significant impact on the broader Asian market.
Overall, Asian stocks ended mostly higher on Thursday, as investors focused on positive economic developments and braced for upcoming earnings reports.
