Global Markets Brace for Nvidia Earnings Amid Rising Tensions

Investors anticipate Nvidia's earnings as the key event in global markets this week amidst cautious sentiments in Asia due to tensions between China and Japan. U.S. economic data starts with construction spending, while labor and price figures are awaited. Japanese stocks hit by diplomatic friction and proposed fiscal stimulus.

Global financial markets are poised for a significant week, with Nvidia's earnings report taking center stage amidst geopolitical tensions in Asia. The anticipation is tangible among investors, as they await U.S. economic data including construction spending and the September jobs report.

In Asia, a cautious atmosphere took hold on Monday, leading to a slight uptick in the dollar's value. Diplomatic tensions between China and Japan, sparked by statements from Japan's Prime Minister, sent Tokyo stocks such as those of Ryohin Keikaku, Isetan Mitsukoshi, and Shiseido into a decline.

Efforts are underway to ease these tensions, with a senior Japanese diplomat traveling to China for discussions. Concurrently, reports of a proposed $110 billion Japanese government spending stimulus exerted additional pressure on the nation's bonds.

(With inputs from agencies.)