Asian shares trailed Wall Street futures lower on Thursday, following disappointing results from Nvidia (NASDAQ). While Nvidia’s third-quarter revenue forecast of $32.5 billion exceeded Wall Street’s expectations, it failed to meet the high hopes of some investors who had driven its stock to new heights. Nvidia’s shares fell 7.6% in after-hours trading, erasing approximately $236 billion in market value.

As a result, Nasdaq futures slid 1% early in Asia, and S&P futures dropped 0.5%. Nvidia’s chip supplier TSMC also experienced a decline, with its shares falling 2.4%, dragging the broader Taiwanese market down by 1.3%.

Asian markets reflected this downturn, with MSCI's broadest index of Asia-Pacific shares outside Japan declining by 0.6%, driven lower by a drop in tech stocks. The Nikkei fell 0.4%, while South Korea's market dropped 0.7%.

China’s blue-chip stocks decreased by 0.4% for the fourth consecutive day, amid concerns over the country's economic recovery. UBS revised its 2024 GDP growth forecast for China down to 4.6% from 4.9%. Additionally, Chinese battery maker CATL saw a 2% drop after two prominent Republican lawmakers proposed adding the company to a restricted list for allegedly collaborating with Beijing’s military.

On a more positive note, Chinese food delivery giant Meituan surged 7% following a 21% increase in its second-quarter revenue, surpassing expectations.

Debt and currency markets remained largely stable during the Asia session. Fed Atlanta President Raphael Bostic indicated that it might be time for rate cuts but awaited confirmation from upcoming jobs and inflation reports before the September meeting.

The dollar held steady above its one-year lows, impacted by expectations of imminent Fed rate cuts. Futures markets have fully priced in a quarter-point cut next month and even suggest a 35% chance of a half-point reduction.

The euro remained at $1.113, having dropped 0.6% overnight and failing to break through key resistance at $1.12.

Treasury yields were mixed, with the yield curve between two-year and 10-year bonds nearing a positive inversion for the first time since July 2022. Two-year yields stood at 3.8692%, down 4 basis points overnight, while 10-year yields remained little changed at 3.8368%, just 3 basis points below the two-year yield.

Gold prices rose by 0.4% to $2,512.89 an ounce, approaching its record high of $2,531.60. Oil prices also edged higher after two days of declines. Brent crude futures increased by 0.1% to $78.75 a barrel, while U.S. West Texas Intermediate crude futures gained 0.2% to $74.69. Concerns about demand from China and the U.S. were countered by supply disruptions in Libya.

Paraphrasing text from "Reuters" all rights reserved by the original author.