Asian technology shares rose after bumper results from the US chipmaker Nvidia last night.
There was a sigh of relief after the AI bellwether Nvidia reported a doubling in quarterly revenue to almost $100bn and forecast third-quarter revenue above Wall Street forecasts. The chipmaker, the most valuable company in the world with a $5tn market cap, made revenues of $96bn in the second quarter, which is set to rise to $108bn in the third.
Jensen Huang, the founder and chief executive, jubilantly declared that demand was accelerating as the AI industry had reached a “golden age”.
The results showed no signs of slowing demand for chips and revived confidence in the AI trade after a recent sell-off in tech shares on Wall Street and Asia, leading to a massive drop in the South Korean stock market in July.
Kathleen Brooks, a research director at XTB, described the figures as “nothing short of stunning”.
Nvidia shares rose 4.7% in post-market trading to $219.53 and if the rally continues into Thursday, as Brooks expects, it could break through the $220 barrier, heading towards the $235 highs seen in May.
South Korea’s Kospi rose 1.3%, with shares in the memory chipmaker Samsung Electronics up 3%.
The Shanghai and Shenzhen exchanges climbed 0.95% and 1.37% respectively, while the Singapore market added 0.4% and Taiwan was 0.3% ahead. However, other major Asian markets were in the red, with Japan’s Nikkei edging 0.2% lower.
The Australian exchange fell almost 1%.
In Hong Kong, the online fashion retailer Shein plans to price its stock market flotation at $26.5bn, raising $1.7bn, Reuters reported, citing two sources.
In the US the Jackson Hole economic policy symposium kicks off today, and markets are on tenterhooks for a keynote speech from the US Federal Reserve chair, Kevin Warsh, on Friday.
Today’s key events
• Jackson Hole economic policy symposium begins in the US
• 1.30pm BST: US initial jobless claims for week to 22 August
• 1.30pm BST: US trade in goods for July
We’ll be tracking all the main events throughout the day on our business live blog …
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