Shares Volatile in Asia as Metals Fluctuate, Earnings Loom

Investors brace for busy week of corporate results, central bank meetings, and economic data

Feb. 1, 2026 at 6:55pm

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Asian share markets mostly followed Wall Street futures lower on Monday as chaotic trading in silver made for a nervous start to a week packed with corporate earnings, central bank meetings, and major economic data. Silver lost another 5% at one stage, as Friday's 30% plunge squeezed leveraged positions in what had become a very crowded trade. Oil prices also fell by almost 3% as President Donald Trump said Iran was "seriously talking" with Washington, perhaps lessening the risk of a U.S. military strike. The jitters saw MSCI's broadest index of Asia-Pacific shares outside Japan ease 0.7%, with South Korea down 1.0%. Japan's Nikkei was a rare gainer, adding 0.7% as opinion polls suggested Prime Minister Sanae Takaichi's Liberal Democratic Party was likely to score a landslide victory in next week's lower house election.

Why it matters

The volatility in Asian markets reflects broader global economic uncertainty, with investors closely watching developments in commodities, geopolitics, and the upcoming earnings season. The potential for policy shifts in Japan following the election also adds to the mix of factors influencing regional markets.

The details

The chaotic trading in silver was triggered by a 30% plunge on Friday that squeezed leveraged positions in what had become an overcrowded trade. Dealers also pointed to a halt in trading of the UBS SDIC silver futures fund in China as one cause of the rout. Oil prices fell as investors speculated that tensions between the U.S. and Iran may be easing, reducing the risk of a military conflict. The jitters in Asian markets came as investors brace for a busy week of corporate earnings reports, central bank meetings, and key economic data releases.

  • On Friday, silver prices plunged 30%.
  • Over the weekend, President Donald Trump said Iran was "seriously talking" with Washington.

The players

Sanae Takaichi

The Prime Minister of Japan and leader of the Liberal Democratic Party, which is expected to win a landslide victory in next week's lower house election.

Donald Trump

The President of the United States, who said over the weekend that Iran was "seriously talking" with Washington, potentially lessening the risk of a U.S. military strike on the country.

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What they’re saying

“Trump is most unlikely to have nominated Warsh if he was not genuinely supportive of lower interest rates, and for which there is plenty of evidence Warsh believes that the economy can achieve higher rates of non-inflationary growth.”

— Ray Attrill, Head of FX Strategy (NAB)

What’s next

The focus this week will be on the corporate earnings reports, with around 30% of the Euro STOXX market capitalization due to report. Investors will also be closely watching the policy meetings of the Reserve Bank of Australia, European Central Bank, and Bank of England.

The takeaway

The volatility in Asian markets reflects the broader global economic uncertainty, with investors closely watching developments in commodities, geopolitics, and the upcoming earnings season. The potential for policy shifts in Japan following the election also adds to the mix of factors influencing regional markets.