Asian equities showed mixed performance on Thursday as gains in technology shares, led by Nvidia, were tempered by rising interest rate concerns and central bank policy shifts.
Nvidia’s stock surged about 4.7% in after-hours trading following its second-quarter results, which showed revenue rising 106% year-over-year to $89 billion in its Data Center segment. The company forecast third-quarter revenue of $108 billion and projected fiscal 2028 revenue growth of roughly 70%, though it excluded any contribution from China. The chipmaker’s rally lifted U.S. futures, with the Nasdaq 100 up 0.9% and the S&P 500 futures gaining 0.5% in Asian trade, while Wall Street’s S&P 500 ended roughly flat overnight.
The MSCI Asia-Pacific index advanced 0.5% to 0.7%, extending a three-session advance, but gains were uneven across the region. South Korea’s KOSPI led with a 1.9% rise, while Thailand’s SET index climbed 0.6%. China’s Shanghai Composite and CSI 300 added 0.6% and 0.5%, respectively. India’s Nifty 50 edged 0.2% higher, and Japan’s Nikkei 225 slipped 0.1%.
Hong Kong’s Hang Seng fell 0.5%, Australia’s S&P/ASX 200 dropped 0.9%, and Singapore’s Straits Times Index declined 0.7%. Chip-related stocks were mixed, with SK Hynix up 3.2%, Samsung Electronics rising 2.2%, and Kioxia gaining 5.2%. Largan surged nearly 10%, while TSMC added just 0.4%. On the downside, Advantest fell 2.1%, Disco dropped 1.1%, and Powertech Technology declined 1.2%.
Rate expectations weighed on sentiment as the Bank of Korea raised its benchmark rate by 25 basis points to 3% on Thursday, citing persistent inflation and financial stability risks. The Bank of Thailand, however, held its policy rate at 1% on Wednesday, citing an accommodative stance. In Japan, Deputy Governor Ryozo Himino suggested a potential rate hike as early as September to preempt inflation pressures.
U.S. Treasury yields were little changed, with the two-year at 4.22% and the 10-year near 4.63%. The core personal consumption expenditures price index rose 0.2% month-over-month and 3.3% year-over-year in July. Federal Reserve Chair Kevin Warsh is scheduled to deliver his first major address at the Jackson Hole Economic Symposium on Friday, with markets closely monitoring signals on future policy direction.
