Global Markets Stumble Amid Escalating Geopolitical Tensions

Asian stocks largely declined due to Russia-Ukraine war concerns, despite US market gains. Japan reported a trade deficit amid high energy costs. Nvidia stock soared on impending earnings and AI interest. US bonds and gold rose as investors sought safety. Walmart surpassed profit forecasts while Lowe's posted strong earnings despite stock decline.

Asian stocks saw a predominate decline on Tuesday as rising tensions in the Russia-Ukraine conflict weighed against recent gains seen on Wall Street. Notably, Ukraine's deployment of longer-range missiles supplied by the West marked a significant escalation in the near thousand-day-long war.

In Japan, the Nikkei 225 index dropped by 0.5% following a report of the nation's continuing trade deficit, now extending to the fourth consecutive month. A weaker yen and high energy prices contributed to rising import costs, despite exports growing by 3.1% year-over-year.

Meanwhile, attention turned to Nvidia as its stock climbed 4.9% in anticipation of its quarterly results, fueled by the ongoing artificial intelligence frenzy. Investors leaned towards US Treasury bonds and gold as geopolitical concerns deepened, with Treasury yields easing and gold recovering ground lost after the 2016 US elections.

(With inputs from agencies.)