Indices recover but will Nvidia help or hinder the bounce?

Chris Beauchamp IG

Signs of recovery have been seen in stock markets today, though Nvidia earnings still lie ahead, says Chris Beauchamp, Chief Market Analyst at investing and trading platform IG.

Markets edge higher ahead of Nvidia earnings

It’s Nvidia’s world really, we all just live in it. US stocks dominate the fate of global markets, and as the largest single listed entity in the world, Nvidia’s earnings are an event marked on the calendar of every investor. Tonight’s earnings are unlikely to settle the question of whether we are in an AI bubble, but they might provide fuel for a continuation of the tentative bounce seen in stock markets today.

Volatility retreats after days of selling

Given the amount of doom-laden coverage around the drop in stocks over the past week or more, you’d think we were witnessing a rerun of April’s tariff-related panic. In truth indices around the globe had been overdue some kind of selloff, just to reset sentiment and allow some judicious profit-taking. It feels like many expect this to turn into the long-awaited selloff that pops the AI bubble, but such predictions feel far-fetched.

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Chris Beauchamp

EUR/USD faces next resistance near 1.1930

EUR/USD has surrendered its earlier intraday advance on Thursday and is now hovering uncomfortably around the 1.1860 region amid modest gains in the US Dolla. Moving forward, markets are exoected to closely follow Friday’s release of US CPI data.

GBP/USD inching closer to 1.36

The Pound Sterling edged higher to 1.3640 on Thursday, recovering from an earlier pullback after stronger-than-expected US jobs data initially weighed on the pair. The Bank of England held rates at 3.75% at its February 4 meeting in a narrow 5-4 vote split, with four members preferring a 25 basis point cut to 3.50%.

Gold falls to near $4,900 as selling pressure intensifies

Gold price faces some selling pressure around $4,910 during the early Asian session on Friday. The yellow metal tumbles over 3.50% on the day, with algorithmic traders appearing to amplify the precious metal’s sudden drop. Traders will closely monitor the release of the US Consumer Price Index inflation report for January, which will be released later on Friday.

Ethereum investors face huge unrealized losses following price slump

US spot Ethereum exchange-traded funds flipped negative again on Wednesday after recording net outflows of $129.1 million, reversing mild inflows seen at the beginning of the week, per SoSoValue data. Fidelity's FETH was responsible for more than half of withdrawals, posting outflows of $67 million.

A tale of two labour markets: Headline strength masks underlying weakness

Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.

Aster Price Forecast: Demand sparks on Binance Wallet partnership for on-chain perpetuals

Aster is up roughly 9% so far on Thursday, hinting at the breakout of a crucial resistance level. Aster partners up with Binance wallet for the second season of the on-chain perpetuals challenge.