Stocks in Asia were poised for a sluggish start as traders assess heightened geopolitical risks while awaiting the latest earnings from the world’s most valuable company. Bitcoin extended its post-election rally.

Futures pointed to small declines in Tokyo and Hong Kong, while Sydney was set to open little changed. US equities reversed earlier losses spurred by Ukraine’s first strike in Russia with US missiles and President Vladimir Putin’s approval of an updated nuclear doctrine. Haven assets including Treasuries and gold rose.

“The geopolitical headlines related to Ukraine created some selling pressure in equities in the morning, but stocks quickly rebounded to finish the day higher as investors are anticipating” Nvidia Corp. earnings, JPMorgan Chase & Co. analysts said in a note. “A nice beat seems widely anticipated.”

Traders are turning their focus to Nvidia as the chipmaker prepares to report later on Wednesday. The stock at the forefront of the artificial-intelligence boom rose 4.9% on Tuesday, leading gains in the S&P 500. Trading in options signals the results will be the most-important catalyst left this year — more than the Federal Reserve’s December meeting, according to Barclays Plc strategists.

Meanwhile, Bitcoin set another all-time high, supported by a series of developments highlighting the deepening embrace of the digital-asset industry in the US under crypto cheerleader Donald Trump. 

The President-elect announced Tuesday he was tapping Cantor Fitzgerald LP Chief Executive Officer Howard Lutnick to lead the Commerce Department, will play a key role in facilitating Trump’s tarrif and trade policies.

The S&P 500 added 0.4%. The Nasdaq 100 climbed 0.7%. A gauge of the “Magnificent Seven” megacaps advanced 1.7%. US 10-year yields slid two basis points to 4.40%, while Australia’s equivalent dipped in early trading.

Gold rose for a second day while oil pared gains after the International Atomic Energy Agency said Iran agreed to stop producing near bomb-grade uranium, a move some traders interpreted as designed to avoid maximum-pressure sanctions.

  - Bloomberg