Nvidia Drags Stocks Lower & Oil Slips - Asia Market Wrap
Global stocks fell as investors weighed the fallout from Nvidia’s leadership crisis. Nasdaq 100 futures dropped 1.2% and S&P 500 futures lost 0.5%, giving back some of Wednesday’s gains. The MSCI Asia Pacific Index fell 0.9%, putting it on track to snap a three-day rally, while Taiwan’s tech-heavy benchmark slid 2.6%. Nvidia shares fell as much as 10% in late US trading as investors weighed the possibility of CEO Jensen Huang leaving. Nvidia is working with an outside firm to identify potential successors, according to a person familiar with the matter. The search follows reports of multiple extramarital affairs, including one with a woman reportedly suspected of spying for China. Long-dated Treasuries rose as trading resumed after the Veterans Day holiday, with the turmoil at Nvidia fuelling demand for havens. The 30-year yield fell 2 bps to 5.33%, while the 10-year yield held at 4.99%. Indonesia’s Rupiah hit a record low, prompting central bank intervention, while the Yen traded near the closely watched 160 per Dollar level. Brent fell below $92 a barrel, nearing a two-month low after rising 1.4% on Wednesday. Higher Middle East production and subdued hostilities between Iran and
Global stocks fell as investors weighed the fallout from Nvidia’s leadership crisis. Nasdaq 100 futures dropped 1.2% and S&P 500 futures lost 0.5%, giving back some of Wednesday’s gains. The MSCI Asia Pacific Index fell 0.9%, putting it on track to snap a three-day rally, while Taiwan’s tech-heavy benchmark slid 2.6%. Nvidia shares fell as much as 10% in late US trading as investors weighed the possibility of CEO Jensen Huang leaving.
Nvidia is working with an outside firm to identify potential successors, according to a person familiar with the matter. The search follows reports of multiple extramarital affairs, including one with a woman reportedly suspected of spying for China. Long-dated Treasuries rose as trading resumed after the Veterans Day holiday, with the turmoil at Nvidia fuelling demand for havens. The 30-year yield fell 2 bps to 5.33%, while the 10-year yield held at 4.99%.
Indonesia’s Rupiah hit a record low, prompting central bank intervention, while the Yen traded near the closely watched 160 per Dollar level. Brent fell below $92 a barrel, nearing a two-month low after rising 1.4% on Wednesday. Higher Middle East production and subdued hostilities between Iran and the US weighed on oil. Gold extended Wednesday’s losses after hotter-than-expected US inflation and hawkish remarks from Fed officials.