Nvidia Earnings, Bond Market Volatility, and Global Economic Watchlist

Nvidia Earnings and Market Rebound

• 📊 Nvidia's upcoming earnings report on Wednesday will conclude the Q1 US reporting season.
• 📈 Despite significant gains over two years, Nvidia's stock has plateaued in early 2025, and its report may challenge the recent stock market rebound as the S&P 500 nears record highs.

Trouble in Long-Dated Government Bonds

• ⚠️ The long-dated government bond market, typically stable, has become volatile.
• 📉 Soft demand for a $16 billion sale of 20-year US treasuries followed the US losing its AAA credit rating from Moody's.
• 🇯🇵 Japan experienced its worst bond auction since 2012, pushing 30-year government bond yields to record highs, with 30-year US yields also surpassing 5%.

Global Central Bank Watch

• 🇦🇺 Australia's inflation data is anticipated following the central bank's rate cut in May and signals for further easing.
• 🇳🇿 The Reserve Bank of New Zealand is expected to lower its cash rate by a quarter point on the same day as Australia's data release.
• 🇰🇷 The Bank of Korea is poised for a rate cut amid growing economic headwinds.
• 🇯🇵 The Bank of Japan intends to continue raising interest rates if inflation meets forecasts, with Tokyo consumer price index data due May 30th.

US Inflation and Tariffs

• ⚡ The Fed's Personal Consumption Expenditures (PCE) metric will offer insight into the impact of US tariffs.
• 📈 While April saw volatility due to tariffs, recent consumer and producer price data have not yet shown significant inflationary warning signs.