Japan Election Poll Signals Landslide Win for Sanae Takaichi, Raising Fiscal Policy Concerns 
Indonesia Stocks Face Fragile Sentiment After MSCI Warning and Market Rout 
BOJ Policymakers Warn Weak Yen Could Fuel Inflation Risks and Delay Rate Action 
China Home Prices Rise in January as Government Signals Stronger Support for Property Market 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
U.S. Eases Venezuela Oil Sanctions to Boost American Investment After Maduro Ouster 
Gold Prices Stabilize in Asian Trade After Sharp Weekly Losses Amid Fed Uncertainty 
South Korea Exports Surge in January on AI Chip Demand, Marking Fastest Growth in 4.5 Years 
UK Employers Plan Moderate Pay Rises as Inflation Pressures Ease but Persist 
Gold and Silver Prices Plunge as Trump Taps Kevin Warsh for Fed Chair 
U.S. Government Faces Brief Shutdown as Congress Delays Funding Deal 
Oil Prices Slide Nearly 3% as U.S.-Iran Talks Ease Geopolitical Tensions 
U.S. Stock Futures Slip as Markets Brace for Big Tech Earnings and Key Data 
Dollar Holds Firm as Markets Weigh Warsh-Led Fed and Yen Weakness Ahead of Japan Election 
China Manufacturing PMI Slips Into Contraction in January as Weak Demand Pressures Economy 
Wall Street Slides as Warsh Fed Nomination, Hot Inflation, and Precious Metals Rout Shake Markets 
Asian markets struggled for direction on Wednesday as growing concerns over stretched artificial intelligence valuations weighed on sentiment ahead of Nvidia’s highly anticipated earnings report. The Nasdaq fell 1.2% overnight, marking a second straight day of losses and placing the index more than 6% below its late-October record, as investors reassessed lofty tech valuations.
U.S. stock futures were flat in early Asian trading, while Japan’s Nikkei managed a modest 0.4% rise and South Korea’s Kospi slipped 0.8%. Nvidia, a key driver of the global AI-fueled stock rally, will report results after the U.S. market close. Analysts expect a sharp 56% jump in fiscal Q3 revenue to $54.92 billion, according to LSEG data. With Nvidia’s share price widely viewed as “priced for perfection,” analysts say continued strong GPU demand will be critical to justify its premium.
Broader market caution is also driven by shifting expectations for U.S. monetary policy. Traders now price only a 42% chance of a Federal Reserve rate cut in December, down sharply from near certainty a month earlier. Concerns over fiscal policy—amplified by worries about President Donald Trump’s declining approval ratings and the potential for increased government spending—have kept U.S. Treasury yields elevated. The 10-year yield held steady at 4.11%.
Japan’s bond market also faced pressure as fears over expanding fiscal spending pushed long-end yields higher. Benchmark 10-year Japanese government bond yields hit a 17-year high of 1.765% ahead of a key 20-year auction.
In cryptocurrencies, bitcoin recovered slightly to $92,000 after briefly dipping below $90,000, though it remains down 27% from its October peak. Analysts attribute the drop to equity market weakness, fading rate-cut hopes, and leverage unwinding rather than the start of a prolonged downturn.
Meanwhile, currency markets remained steady, with the yen weakening to 155.45 per dollar—approaching levels that previously prompted intervention warnings. Gold hovered near $4,066 after recent declines, while Brent crude dipped to $64.51 a barrel.
