Will Nvidia’s Q2 Results Jolt the Market?

Nvidia is set to release its second-quarter earnings on Wednesday, and global investors will be closely watching for signals on the health of the tech sector, particularly in AI and cloud computing. Wall Street expects revenue to reach about $46 billion, up 53% year-on-year, driven by strong demand from data centres and AI infrastructure. Earnings per share are projected at $1.01, sustaining the company's profitability, although growth is moderating compared to previous quarters.

Much of Nvidia’s success stems from its Blackwell product line, which powers AI and data-heavy workloads, while supply-chain constraints and cautious customer spending may limit further gains. With a market capitalisation above $4 trillion, any surprise in the results could significantly move major indexes such as the S&P 500 and Nasdaq-100, making this report a key market event.

(Nvidia Daily Share Price Chart, Source: Trading View)

From a technical analysis perspective, the Nvidia share price has been moving in a bullish trend since early April 2025, as indicated by the higher highs and higher lows. It has experienced a temporary pullback since last week, but has been able to regain bullish momentum and surge upwards, and is retesting at the order block of 182 – 185. If it is able to break above this order block, it might potentially continue to surge higher.

Mann Warns on Inflation as BoE Keeps Easing Path Open

Bank of England (BoE) Monetary Policy Committee member Catherine Mann said on Tuesday that she supports keeping the Bank Rate steady for an extended period but is prepared to cut rates aggressively if growth weakens further. Mann opposed this month’s 25-basis-point cut to 4%, citing persistent upside risks to inflation, which the BoE recently revised to 4% for September, with the 2% target now not expected until Q2 2027.

She also warned that wage growth in the UK remains stronger than the central bank’s models suggest, with forecasts of 3.5 – 4.0% pay growth by year-end seen as inconsistent with returning inflation to target. While higher rates could curb inflation faster, Mann argued that further tightening would risk harming the fragile growth outlook and could force a swift policy reversal.

(GBP/USD Daily Chart, Source: Trading View)

From a technical analysis perspective, the GBP/USD currency pair recently rebounded from the 1.3370 – 1.3410 swap zone with some bullish momentum but was then rejected by bearish pressure, as indicated by the bearish white trend line. The formation of recent lower highs and lower lows suggests that bearish forces remain in control in the near term, potentially pushing the pair lower to retest the swap zone again.

Oil Steadies After 2% Drop on Geopolitical Risks

WTI crude oil futures traded around $63 per barrel on Wednesday during the Asian trading session at the time of writing, stabilising after a more than 2% drop in the prior session as traders weighed geopolitical tensions and tariff developments. Heightened strikes between Russia and Ukraine targeted each other’s energy infrastructure, while the US moved to double tariffs on select Indian goods to 50% over its oil dealings with Russia. However, it downplayed major supply risks, as India has not curtailed its Russian crude imports.

Market sentiment was also shaped by concerns over the Federal Reserve’s independence and recent US data. API figures showed a smaller-than-expected 1-million-barrel draw in crude inventories last week, missing forecasts of a 1.7-million-barrel decline.

(Crude Oil Futures Daily Chart, Source: Trading View)

From a technical analysis perspective, crude oil futures recently broke below the 64.10 – 64.80 swap zone, surged upward to retest it, but were rejected again with bearish momentum. This valid bearish move suggests that the price could potentially decline further.