Asian markets opened mixed on Thursday, with little conviction, as investors weighed a report that Nvidia's board was meeting to discuss the future of chief executive Jensen Huang, the chipmaker at the centre of this year's artificial intelligence rally.

Japan's Nikkei 225 opened at 61,475.11, up 226.52 points, or 0.37%, extending its winning run to a fourth straight session, while the broader Topix opened at 3,943.52, up 14.13 points. The Nikkei turned lower shortly after the open, however, as the Nvidia news spread through the market. South Korea's Kospi opened 0.2% higher but turned negative, losing 11.32 points, or 0.21%, to 5,364.04 by 9:15 a.m. local time. Taiwan's Taiex slipped 0.24%, while Hong Kong's Hang Seng opened down 194 points at 24,121, with the Hang Seng Tech index down 0.8% at 3,995.

The Nvidia trigger

The trigger for the movement came in late US trading, when Nvidia shares fell about 9% after Bloomberg reported that the company's board was meeting to discuss the future of Huang. Nvidia had closed the regular session 2.92% higher at $173.73, but fell 8.6% in after-hours trading to $158.78 after the New York Times reported that Huang had a relationship with a direct report, and the Wall Street Journal reported that the board was preparing to oust him.

US Nasdaq futures also turned lower on the news, and the caution carried into Asia. South Korean artificial intelligence-related stocks gave back early gains and turned lower one after another, weighing on the Kospi. In Tokyo, semiconductor-related stocks were mixed: Tokyo Electron extended its gains while Advantest fell, and chip substrate maker Ibiden posted a larger decline and ranked among the biggest drags on the Nikkei. Markets were expected to remain cautious until the veracity of the reports and the board's official position were confirmed.

Wednesday's strong session

The mixed open followed a strong session on Wednesday, when most major Asian markets ended higher as CoreWeave's strong results and reports of an imminent Anthropic initial public offering revived the artificial intelligence trade, outweighing concern over hotter-than-expected US inflation data.

Taiwan's Taiex surged 3.6% on Wednesday, driven by chipmaker TSMC, up 4.8%, insurer Fubon Financial, up 4.3%, and chip designer MediaTek, up 4.2%. South Korea's Kospi jumped 2.6% to 5,375.36, led by memory chipmakers SK Hynix, up 5.4%, and Samsung Electronics, up 3.6%. Japan's Nikkei 225 rose 1.3% to 61,248.59, led by chip equipment makers Advantest and Tokyo Electron and chip substrate maker Ibiden, while technology investor SoftBank slipped 0.4% after posting a quarterly loss.

China's Shanghai Composite gained 0.5% on Wednesday, led by electronic components and telecom equipment stocks, while China Eastern Airlines fell 3.0%, solar panel maker LONGi Green Energy fell 2.9% and liquor maker Kweichow Moutai fell 2.5%. Hong Kong's Hang Seng was the outlier, falling 1.0% to 24,315.92, dragged by electric vehicle makers BYD, down 3.8%, and Li Auto, down 3.4%, and food delivery platform Meituan, down 3.5%.

Japan data and what to watch

In economic news, producer prices in Japan rose 0.7% on the month in October, the Bank of Japan said on Thursday. The Japanese market was trading modestly higher in the morning, extending the gains of the previous three sessions, following the broadly positive cues from Wall Street overnight, with gains in index heavyweights and exporter stocks while most other sectors traded mixed.

In Mumbai, benchmark indices rallied in early trading on Thursday amid sustained foreign fund inflows and lower crude oil prices. The 30-share BSE Sensex advanced 166.44 points to 82,013.58 in early trade, and the 50-share NSE Nifty was up 55.65 points at 25,316.55.

The question for the rest of the session is whether the Nvidia report fades as a one-day shock or deepens into a wider reassessment of the chip trade. With Nvidia due to report quarterly results on 17 November, and with Asian chipmakers so closely tied to its fortunes, traders in Tokyo, Seoul and Taipei will be watching every further report from the company's board.

Sources: CNBC TV18 via TradingView and Binance News via TradingView.