Stocks rally as Nvidia earnings ease AI bubble concerns

November 20, 2025 / 10:42 AM

Sharjah24-AFP: Asian markets surged on Thursday following better-than-expected earnings from chipmaker Nvidia, which eased worries about an AI-driven market bubble and overshadowed a Federal Reserve report dampening hopes of a December interest rate cut.

Nvidia reported strong demand for its advanced chips, causing its shares to rise more than five percent in after-hours trading. The results lifted tech stocks across Asia, with gains in South Korea, Taiwan, and Japan, while broader markets in Tokyo, Seoul, Taipei, Hong Kong, Shanghai, Sydney, Singapore, Wellington, and Jakarta also increased.

Dollar strengthens against yen amid Japan fiscal concerns

The rally mitigated the impact of the Fed’s October meeting minutes, which suggested policymakers are likely to keep interest rates steady, diminishing expectations for further cuts in 2026. Investors are also awaiting US employment data for September, delayed due to the government shutdown, while the dollar strengthened against the yen amid concerns over Japan’s fiscal outlook.