Key Takeaways
- Nvidia (NVDA) reported a staggering $96.2 billion in quarterly revenue, a 106% year-over-year increase, while forecasting a 70% revenue jump for fiscal 2028.
- Federal Reserve Chair Kevin Warsh is set to deliver his first Jackson Hole keynote on Friday, with markets on edge as he has historically avoided providing explicit forward guidance.
- Japan’s Tokyo CPI rose 1.9% in August, matching estimates, while the national jobless rate unexpectedly fell to 2.4% in July, signaling continued labor market resilience.
- Jiangsu Expressway (600377.SS) announced a major RMB 7.34 billion ($1.03 billion) cash acquisition to take 100% equity in the Suxichang South Expressway.
- US Natural Gas futures rose 2.3% to $2.907/MMBtu as LNG feedgas demand surged 12% weekly, despite storage levels remaining 5.5% above the five-year average.
Nvidia Shatters Records as AI Demand Reaches "Inflection Point"
Nvidia (NVDA) continues to dominate the technology sector, reporting record-breaking revenue of $96.2 billion for the quarter ended July 26, 2026. This performance represents a 106% increase from the same period last year, driven by what CEO Jensen Huang described as an "inflection point" for artificial intelligence. The company also provided a rare long-term outlook, forecasting a 70% rise in revenue for fiscal 2028, even as CFO Colette Kress warned that supply will likely remain a bottleneck through the end of that year.
Former President Donald Trump congratulated Huang on Truth Social, highlighting the "incredible numbers" and the company's "great success" as a uniquely American achievement. The surge in demand is being fueled by a global infrastructure buildout across AI labs, hyperscalers, and sovereign customers. To support this growth, Nvidia has committed to massive memory procurement deals, including a supply pact with SK Hynix that brings its total memory commitments to $160 billion.
High Stakes for Warsh’s Jackson Hole Debut
Investors are laser-focused on Wyoming this Friday as Federal Reserve Chair Kevin Warsh prepares to deliver his first keynote speech at the Jackson Hole Economic Policy Symposium. Since taking office in May, Warsh has maintained a "closed book" approach to policy, opting for a hands-off strategy that emphasizes market signals over the detailed forward guidance favored by his predecessor, Jerome Powell. This lack of transparency has left markets struggling to determine his reaction function toward stubborn inflation, which stood at 3.7% in July.
Analysts warn that a vague or dovish message could trigger a selloff in long-dated Treasuries, potentially pushing the 30-year yield toward 5.5%. With the Treasury Department expanding its bond-buyback program to manage rising yields, clear guidance from Warsh is considered crucial for stabilizing both bond and equity markets. Traders currently see a 70% probability of a rate hike by December if disinflation continues to stall.
Japan Economic Data and Regional Infrastructure Moves
In Asia, Tokyo’s August CPI rose 1.9% year-on-year, perfectly aligning with market forecasts. Core inflation (excluding fresh food) came in at 1.8%, while the "core-core" measure (excluding fresh food and energy) rose 2.0%. Simultaneously, Japan’s labor market showed unexpected strength, with the July jobless rate falling to 2.4%, below the 2.5% estimate. Despite the positive data, Nikkei 225 futures traded down 0.3% in early trade as investors remained cautious ahead of the Fed’s Friday speech.
On the corporate front, Jiangsu Expressway (0177.HK) is expanding its toll-road portfolio with a RMB 7.34 billion cash acquisition of the Suxichang South Expressway Company. The deal, which involves purchasing stakes from three separate entities, is expected to consolidate the company's dominance in the southern Jiangsu road network. The acquisition is priced at a modest 0.89% premium over the target's book value and remains subject to shareholder approval.
Energy Markets and Humanitarian Crisis
US Natural Gas futures gained 2.3% to reach $2.907/MMBtu, supported by a 12% weekly jump in LNG feedgas demand to 19.6 Bcf/d. The rally is being driven by record August heat and the return of the Freeport LNG terminal to full capacity. However, upside remains capped as total storage inventories are still 5.5% above the five-year average, leaving the market to balance near-term weather-driven tightness against a seasonal surplus.
In the Himalayan region, a humanitarian disaster is unfolding as the death toll from catastrophic flooding on the Nepal-China border has risen to 392. Following a glacial collapse, more than 1,400 people remain missing, including dozens of foreign nationals from the U.S., Australia, and Britain. Authorities in both countries have warned of fresh risks as debris-dammed lakes threaten to burst, potentially causing further devastation to downstream communities.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.