ASX opens higher as tech stocks soar on Nvidia earnings
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More news: Australian shares jumped at the open as tech stocks soared on the back of a positive third-quarter result by Nvidia this morning.
The benchmark S&P/ASX 200 index was up 66.4 points, or 0.79%, to 8.514.3 at 10:30am AEDT. Eight of the 11 sectoral indices were in the green.
The technology sector surged 4.3%, with data centre group NextDC up 7%. Megaport (+5.9%), WiseTech (+5%), Technology One (+4.9%), Life360 (+3.5%) and Xero (+3%) also saw strong gains.
Real estate stocks were the next best performing, rising 1.7% as data centre operators Goodman Group (+3.3%) and DigiCo (+2.5%) lifted.
Australian shares to rise as S&P 500, Nasdaq lift before Nvidia earnings
The news: Australian shares are poised to open higher after the S&P 500 and Nasdaq notched gains overnight, as tech stocks rallied ahead of Nvidia's highly anticipated third-quarter earnings.
The numbers: Updated at 7:30am AEDT:
- ASX futures: up 28 points, or 0.33%, to 8,491
- Wall Street: Dow Jones down 0.12%, S&P 500 flat and Nasdaq down 0.43%
- Europe: CAC 40 down 0.18%, DAX down 0.08% and FTSE 100 down 0.47%
- Spot gold: up 0.22% to USD4,076 per ounce
- Oil prices: Brent down 2.15% to USD63.50/bbl and US WTI down 2.20% to USD59.41/bbl
- AUD: down 0.64% at 64.69 US cents
- Bitcoin: down 4.77% to USD88,565.
The context: Nvidia shares added nearly 3% overnight as investors awaited third-quarter results from the world's most valuable company, expected around 8:20am AEDT. The result is seen as a key barometer of global AI demand, with traders on the watch for signals on whether growth in the sector can be sustained.
Google parent Alphabet also saw its shares rise 3.7% a day after launching its Gemini 3 AI model and following the Berkshire Hathaway weekend disclosure that it bought 17.8 million shares last quarter.
The Dow was dragged lower by UnitedHealth (-1.9%) and Boeing (-2.4%). Bitcoin extended its recent slump, tumbling below USD90,000.
Meanwhile, traders nearly priced out a rate cut at the US Federal Reserve's next meeting in December after the Bureau of Labor Statistics confirmed that it won't publish an October jobs report.
In the local market, Mineral Resources, Insignia Financial, Sonic Healthcare, Worley, Qube, Boss Energy, New Hope Corporation, A2 Milk, Evolution Mining, Mirvac, Charter Hall and Hub24 will all hold their annual general meetings today.
