Nvidia's Earnings and Global Market Jitters

Global markets are on edge as investors await earnings reports from major U.S. companies like Nvidia, amidst falling European stocks and bond yields. Despite technological sector volatility, U.S. interest rate cuts appear unlikely. The market's reaction hinges on upcoming U.S. jobs data, influencing future Federal Reserve decisions.

European stocks dipped alongside falling bond yields on Monday as global markets anxiously anticipated earnings from Nvidia and upcoming U.S. employment data. Europe's leading benchmark index, composed of the top 600 stocks, saw a 0.4% decline, tracing last week's global selloff fueled by technology share overvaluation concerns and reduced hopes for Federal Reserve rate cuts.

Meanwhile, Wall Street appeared set for a slight boost with S&P 500 futures up by 0.2% and Nasdaq 100 futures increasing by 0.4%. Speculation on U.S. interest rate cuts in December has decreased significantly amid cautious statements from policymakers focused on inflation challenges, impacting technology stocks.

In Germany, the 10-year yield dropped 1.5 basis points to 2.70%, responding to an earlier rise by 3 basis points on Friday. Investor attention is fixated on the U.S., with delayed jobs data expected to highlight labor market slowdowns. Following mixed messages from Fed officials, market analysts watch for critical CPI data that might shift Federal Reserve inclinations.

(With inputs from agencies.)