The main event for markets this week is likely Nvidia (NVDA.O), opens new tab earnings after the close on Wednesday, which are shaping as a test for the artificial-intelligence bull run.
Analysts on average expect the company to post a 53.8% year-over-year rise in fiscal third-quarter earnings per share, according to LSEG, and they have been getting more optimistic about future revenue – leaving the company with a lot to beat.
In Asia on Monday, markets struck a cautious tone, sending the dollar up a little bit, while the deepening diplomatic disagreement between China and Japan hit stocks in Tokyo.
Shares in Muji parent Ryohin Keikaku (7453.T), opens new tab, department store operator Isetan Mitsukoshi (3099.T), opens new tab and Shiseido (4911.T), opens new tab notched losses of around 10% each after China’s warning to its citizens against travel to Japan.
A row erupted after Japan’s Prime Minister Sanae Takaichi told lawmakers a Chinese attack on Taiwan could threaten Japan’s survival and potentially trigger a military response.
A senior Japanese diplomat will head to China on Monday to try to calm things down, Japanese media reported. A separate Japanese news report on plans for a $110 billion government-spending stimulus package put pressure on Japanese bonds.