European stock futures rise, Indian markets under pressure, the dollar maintains a downward trend, Asian chip stocks in focus

On Thursday, the 28th, the Asia-Pacific stock markets showed mixed results as investors sought direction in a complex market environment. The stock markets in Japan and South Korea collectively rose, with the Bank of Korea's decision to maintain interest rates providing some support to the market. However, the tariffs imposed by the U.S. and India brought new uncertainties, while the NVIDIA earnings report also became an important factor affecting individual stock movements.

The U.S. dollar index fell for the third consecutive day. After rising in the previous two days, U.S. short-term Treasury bonds retreated, pushing the two-year Treasury yield up one basis point to 3.62%. Oil prices declined.

• The Nikkei 225 index closed up 0.7% at 42828.79 points. The Tokyo Stock Exchange index rose 0.7% to 3089.78 points. The Seoul index closed up 0.3% at 3196.32 points.
• The Euro Stoxx 50 index futures rose 0.1%.
• The Indian Nifty 50 index opened down 0.59%.
• The U.S. dollar spot index fell 0.04% to 98.15.
• The euro was nearly unchanged at 1.1637 U.S. dollars.
• The yield on the 10-year U.S. Treasury bond fell one basis point to 4.22%.
• The yield on the 10-year Japanese government bond remained flat at 1.620%.
• The yield on the 10-year Indian government bond fell five basis points to 6.55%.
• Spot gold fell 0.3% to 3388.25 U.S. dollars per ounce.
• West Texas Intermediate crude oil fell 1% to 63.53 U.S. dollars per barrel.
• Bitcoin rose 0.3% to 112762.62 U.S. dollars.

Bank of Korea Holds Steady, U.S.-India Tariffs Take Effect

On Thursday, the Bank of Korea announced that it would maintain the policy interest rate at 2.5%, in line with market expectations. Despite facing an uncertain trade environment, the central bank chose to "hold steady" for the second consecutive meeting. Following the announcement, the market reacted positively, with the Kospi index rising 0.28%, while the small-cap Kosdaq index fell 0.33%. In the foreign exchange market, the Korean won appreciated 0.24% against the U.S. dollar, reaching 1389.8.

The Indian Nifty 50 index opened down 0.59%. According to CCTV News, on August 25 local time, the U.S. Department of Homeland Security issued a notice indicating that it plans to impose a 50% tariff on Indian goods starting from midnight on August 27. The notice stated that the tariffs would apply to "all Indian goods imported for consumption or storage for consumption." Barclays Bank noted in a report that "the growth risks for the Indian economy have naturally become more real." Analysts at the bank indicated that the tariff increases would be most significant for India's major export goods to the U.S., such as electrical equipment, gems, and jewelry. However, the analysts still expect that trade negotiations between Indian and U.S. delegations will continue In Japan, the demand for the two-year government bond auction held on Thursday was below the 12-month average level, as investors remained cautious about the risks of a potential interest rate hike by the Bank of Japan this year. Additionally, the Japanese Cabinet Office stated that Japan's chief trade negotiator Ryosei Akazawa canceled his visit to the United States at the last minute due to ongoing issues that need to be debated at the administrative level.

NVIDIA's Mixed Performance Draws Attention to Asian Chip Stocks

Chip stocks have also become a market focus. Previously, American chip giant NVIDIA released an earnings and revenue report on Wednesday that exceeded expectations, stating that sales growth for this quarter would remain above 50%. However, due to its data center business revenue falling short of expectations for the second consecutive quarter, the company's stock price declined in after-hours trading.

Doug Peta, chief strategist at DEK BCA Research Inc., believes that the "buying on dips" mentality remains prevalent among tech stock investors. Andrew Jackson, head of Japan equity strategy at Ortus Advisors Pte., also noted that Jensen Huang's comments about demand being "unmet" suggest that this performance guidance figure "may just be a minor episode."

Overnight, the three major U.S. stock indices all closed higher, with the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite Index rising by 0.32%, 0.24%, and 0.21%, respectively