Equities Mixed As Investors Remain Cautious Ahead Of Nvidia Earnings

Asian equities dropped as tech giants declines in the US weighed on regional markets, with attention shifting from the Federal Reserve's outlook to Nvidia's upcoming earnings. Hong Kong, mainland China, South Korea & Taiwan markets opened lower, following Wall Street's tech-driven losses. While Japan's Topix is slightly higher following a small bounce in bank stocks, while the Nikkei dropped on weaker tech stocks, Australian equities are little changed after strong earnings from BHP and Woodside Energy were offset by lower financial stocks.

• Japanese stocks fluctuated as semiconductor-related shares followed their U.S. counterparts lower ahead of Nvidia's earnings later this week. The Nikkei 225 is 0.30% lower, while the Topix is up 0.15% after the Topix Banks Index rose 0.30% following the over 2% drop on Monday. Overall, the market displayed a cautious tone, with traders balancing buying and selling activity in anticipation of Nvidia's earnings and its potential impact on global tech stocks.
• Taiwan equities are lower today, with TSMC falling ahead of Nvidia earnings. the Taiex is currently 0.55% lower.
• South Korean equities are lower today, tracking an overnight tech slide on Wall Street, as the benchmark KOSPI has dropped 0.50%. Major tech stocks like Samsung fell 0.40% and SK hynix dropping 1.50%. The overall market sentiment was cautious ahead of Nvidia’s earnings later this week, which added pressure to the tech-heavy index. While bio and chemical stocks like Samsung Biologics and LG Chem gained, the broader market reflected a mix of losses across key sectors.
• Australian equities are unchanged today with strong performances in the mining and energy sectors in particular BHP and Woodside Energy leading the gains, with Woodside advancing over 4% after reporting first-half net income that exceeded analyst expectations while BHP shares also rose by as much as 2.7%, buoyed by better-than-expected underlying profit and a robust dividend. Gains have been offset by losses in financials. New Zealand equities are down 0.50% with healthcare contributing the most to the loses.
• In Asia EM, Indonesia's JCI is down 0.50%, Singapore Straits Times is down 0.13% while Malaysia's KLCI is 0.50% higher and Philippines PSEi is 0.40% higher.