International financial markets are mostly on hold, trying to process the many hot topics on the table: from geopolitical tensions to global economic uncertainty to fears of disruptions due to US tariffs. Yesterday, the Nasdaq plunged on Wall Street after strong but not perfect data from Nvidia, according to investors, who preferred to focus on Asian and European markets this month. European stock markets are expected to open slightly higher.
Old and new geopolitical tensions
Investors are watching the global geopolitical flashpoints with concern. The main focus is on developments in the still-unstable US-Iran crisis. In the shadow of Trump's threat of attacks against Iran, an Omani mediator in the nuclear talks between Washington and Tehran provided an optimistic assessment of the latest round of negotiations, but the two sides remain very distant.
In other hot spots, the “patience” of the Pakistan against Afghanistan has reached its limit, resulting in night-time bombings of Taliban government targets and declarations of “open war”.
Between l'Chinese Army accused the Philippines of “disturbing” peace and stability by organizing joint patrols with countries outside the region.
The Nasdaq tumbled yesterday after Nvidia. Netflix ceded its path to Warner Bros. Discovery to Paramount.
IERI (Yesterday) Wall Street closed mostly lower, the day after Nvidia's earnings release failed to impress investors, weighing down technology stocks that had led the recent rally. A return to cyclical sectors has helped to keep the Dow which closed up 0,03%, while a 3,2% drop in the Philadelphia SE Semiconductor Index helped drag down the nasdaq, technology-focused, down 1,2%. S & P 500 it closed down 0,54%.
The fourth quarter results of Nvidia, released after the close on Wednesday, beat analysts' expectations, with the chipmaker providing estimates that beat the market. However, the world's largest company by market capitalization faced increasingly difficult year-over-year comparisons as revenue growth slowed. Its shares lost 5,5%.
Netflix announced its withdrawal from the race to acquire Warner Bros. Discovery, clearing the way for its rival Paramount Skydance to secure the $111 billion deal for the storied Hollywood studio. Netflix said it would no longer submit offers because the deal was no longer financially attractive at the asking price, which matched Paramount Skydance's latest offer.
Warner Bros. deemed Paramount's latest offer the best, and CEO David Zaslav said it would create tremendous value for shareholders and pave the way for a combination of Paramount Skydance and Warner Bros. Discovery. Netflix shares jumped as much as 13% in after-hours trading, indicating investors were happy to see the company abandon the deal. Warner Bros. fell, as investors no longer expected a bidding war. Paramount shares were virtually unchanged.
The actions of Dell Technologies Inc. jumped in after-hours trading after the company gave sales forecasts for its artificial intelligence servers that beat estimates.
S&P 500 futures fell 0,3% to 6.896 this morning, while U.S. Treasuries rose slightly, with the yield on the 10-year note falling one basis point to 3,99%, its lowest level since late November.
Asia and Europe steal the show from the US in February
Stocks in Asia and Europe are set to outperform U.S. benchmarks in February, as the so-called artificial intelligence crisis that shook Wall Street has pushed investors to move towards markets considered more protected from the risks of disruption.
The MSCI Asia Pacific index has gained about 7,1% this month, posting the best February performance since the index's inception in 1998. TheEuropean benchmark index advanced 3,6%, poised for an eighth straight month of gains, the longest streak in nearly 13 years. By comparison, Wall Street indicators have fallen this month and stock index futures pointed to further losses for Friday.
La South Korea, a benchmark indicator for investing in artificial intelligence hardware, has performed exceptionally well in Asia, with the Kospi index gaining around 20% this month. It's also the world's best-performing indicator this year, after a 49% surge since the beginning of the year. Asian stocks are aiming for their best February ever.
Investors have preferred to focus on companies that support the expansion of artificial intelligence infrastructure, considering them as the “pickaxes and shovels” of the supply chain. On the contrary, the disruptive potential of the new technology has been roiling stocks across all sectors in the United States for weeks, in what has become known as the "IA Scare Trade".
Asia, stocks remain muted. China intervenes in the yuan. Hyundai Motor jumps 11%.
Asian stock markets are hovering around parity this morning. The MSCI Asia Pacific Index is up just 0,2%.
The focus is on the China, Where the People's Bank of China, The central bank has announced that it will remove the 20% reserve requirement on foreign exchange forward contracts from March 2 to curb the yuan This ends its longest streak of gains since 2010. The change reduces the cost for traders who want to bet against the yuan through derivative contracts with banks. The excessive appreciation of the exchange rate puts pressure on local exporters and exacerbates deflation. On the stock market, the CSI 300 lost 0,3%. Shanghai +0,3%, Shenzhen little changed. Hong Kong's Hang Seng +1%. The proposal Hong Kong to unexpectedly withdraw HK$150 billion ($19 billion) from a fondo used to defend the currency's peg to the U.S. dollar has shocked some officials and raised concerns about the precedent it sets.
The Nikkei of Japan Japanese inflation fell less than expected. Year-over-year, the February Consumer Price Index (CPI), excluding fresh food, rose 1,8%, down from 2% in the previous quarter. This is the smallest increase since October 2024. However, consensus had expected a further decline (+1,7%). The decline was widely expected due to the impact of government measures aimed at reducing energy bills.
Il Kospi of South Korea The US dollar fell 0,6% today after its spectacular performance since the beginning of the year (+50%). South Korea's central bank kept its benchmark interest rate unchanged and does not plan to change policy in the next six months. Today's stock market day, which began with broader losses, was lifted by the rebound from Samsung Electronics, +2%, while Hyundai Motor is up 11% after announcing a 9 trillion won ($6,3 billion) investment in a center for artificial intelligence and robotics. Hanmi Semiconductor Gains 19%, according to local media, the company has launched a new product and is supplying global customers in the memory industry.
In AustraliaThe ASX 200 Index gained 0,3%. The Australian dollar is poised for its sixth consecutive week of gains, its longest streak since 2020, after inflation data reinforced bets on further rate hikes.
Little did she move Currencies. The Bloomberg index Dollar Spot exchange rates remained virtually unchanged, with the euro holding steady at $1,1807. The Japanese yen rose 0,2% to $155,81 per dollar.
Il bitcoin Bitcoin (BTC) halts its rebound from its lows and heads for its fifth consecutive month of sharp declines. The king of cryptocurrencies, down nearly 14% in February and 50% from its all-time high in October, is down 0,86% today at $67.596.
As regards raw materials, the Petroleum Rises on geopolitical uncertainties. Brent crude futures gain 0,58% to $71,25 a barrel, while WTI futures gain 0,72% to $65,67 a barrel.'gold Gold is poised to close its longest monthly gains since 1973, with February's gain of more than 6% set to be its seventh consecutive. This morning, it rose 0,54% to $5.196 an ounce.
European stocks opened slightly higher. At the Milan Stock Exchange, eyes were on MPS-Mediobanca, Eni, and Stellantis.
European stock markets are expected to open slightly higher: Eurostoxx50 futures are up 0,1%.
Mps-MediobancaLovaglio's plan promises €16 billion in dividends and confirms €700 million in synergies. MPS presented its 2030 strategy, which will complete the merger with Mediobanca by the end of the year, aiming to achieve a profit of €3,7 billion and €9,5 billion in revenues in 2030. Generali's contribution to revenues will grow to €800 million. The CET1 ratio is expected to be around 16% over the entire plan horizon. The two banks will continue their preliminary investigations to define the share swap for the merger project, which are expected to be concluded by March 10. The business plan will also be presented today.
Bank Bpm. The outgoing board of directors will submit its own list of candidates for the next board renewal in April, according to a bank spokesperson after yesterday's board meeting called to make a decision on the matter, adding that the list will be formalized next week.
BuzziLaunch of a share buyback program (up to €200 million) aimed at canceling and proposing the cancellation of treasury shares already held in the portfolio.
EniVenezuela can now pay for the gas it receives from Eni using crude oil, thanks to the recent easing of US sanctions, which resolves a situation that had left the South American country heavily indebted to the Italian oil major. Eni CEO Claudio Descalzi said this.
FincantieriThe roadshow took a constructive tone: management reiterated its confidence in the €5 billion in defense orders expected shortly, closely linked to the EU's SAFE framework (€150 billion), which requires multinational contracts by June 2026. The joint venture with Navantia announced yesterday on the European Patrol Corvette (EPC) strengthens visibility in this regard.
StellantisCEO Antonio Filosa, who has led the automotive group since last June, earned €5,4 million in total compensation last year. In a conference call, the CEO expressed optimism about the outlook for the current year. "In the second half of 2025," he said, "revenues returned to growth. The decisive reset we announced on February 6th, putting the customer back at the center of everything we do, will allow us to return to profitable growth."
TernaIt has reached an agreement to sell 100% of its electricity transmission business in Peru. The transaction is valued at approximately $15 million.
doValueThe group closed 2025 with a net profit excluding non-recurring items that more than tripled to 25 million euros, despite higher financial expenses. This was supported by an EBITDA of 217 million, up 32% compared to 2024.
WIITFrench competitor OVH is raising prices to cope with rising hardware costs.
