US indices rebound as Nvidia reports earnings beat and oil prices slide

On Wednesday, U.S. stocks rebounded after a three day decline, supported by falling oil prices and lower bond yields. Sentiment also improved after Donald Trump said U.S.-Iran negotiations were nearing completion.

Investors remain focused on persistent concerns about inflation and slowing demand, despite a strong earnings season. Markets are now watching key U.S. economic data including jobless claims, housing, and manufacturing reports.

Although Nvidia beat earnings and guidance expectations and raised its dividend, the market reaction was muted, with shares falling about 1% in after-hours trading as investors had already priced in strong results.

Asia-Pacific markets rose sharply on Thursday, following Wall Street gains and easing oil prices as investors grew optimistic about a possible end to Middle East tensions. Japan‘s Nikkei 225 jumped 3.5% after stronger than expected trade data showed exports rising 14.8% in April, driven by strong semiconductor demand. Imports also exceeded expectations, while Japan’s trade deficit narrowed.

South Koreas .KS11 climbed 7%, supported by gains in Samsung Electronics and SK Hynix. Samsung rose over 6% after avoiding a major worker strike through successful wage negotiations, while SK Hynix gained 11%.

Minutes from the Federal Reserve April meeting revealed a more hawkish stance than markets expected, with many policymakers favoring the removal of the Fed‘s easing bias altogether. Officials expressed growing concern that inflation could remain elevated due to rising oil prices, Middle East tensions, and ongoing tariff pressures. Most members indicated that additional rate hikes or a longer period of restrictive policy could be needed if inflation stays above the Fed’s 2% target.

Gold prices traded near $4,540 on Thursday as investors monitored developments surrounding U.S.-Iran negotiations and tensions in the Strait of Hormuz. Donald Trump said the U.S. was in the final stages of talks with Iran, raising hopes for a possible agreement, but also warned that military action could resume if Iran rejects U.S. demands.

Market participants believe that any resolution to the conflict or reopening of the Strait of Hormuz could support gold by increasing expectations for lower interest rates.