The MSCI Asia Pacific Index slipped 0.2%, with Japan and Australia’s benchmarks both falling. South Korea bucked the trend, however, with the Kospi climbing 1.13%. Japan’s Nikkei edged down just 0.018%, while the Topix dropped 0.46%.
In Hong Kong, Hang Seng futures fell 0.3%. Nasdaq 100 futures swung between gains and losses in early Asian trading, as US markets remained shut on Monday for a public holiday.
In India, the GIFT Nifty indicated that the Nifty 50 may open in red, with the implied index down over 80 points.
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The Japanese yen, meanwhile, strengthened to its highest level since February. It gained 0.3% to trade at 153.94 per dollar on Tuesday, building on a 1.2% surge the previous session that pushed it beyond the peak reached after Japan and the US jointly intervened to support the currency.
The offshore yuan held steady at 6.7090 per dollar.
Investors are increasingly focused on inflation risk as energy costs climb, with markets now weighing whether the US Federal Reserve will move to raise rates or hold steady when Friday’s inflation data lands, the highlight of a busy week for US economic releases. Corporate earnings will also be in focus with Oracle and Adobe reporting their earnings on Thursday, September 10, offering investors an idea of AI infrastructure spending and its implications for software companies.
Oil prices held broadly steady on Tuesday after Brent crude briefly breached $98 a barrel in the prior session. West Texas Intermediate rose 1.2% to $92.59 a barrel.
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A Bloomberg report said that investors were paying attention to a shipping arrangement between Iran and Oman for the Strait of Hormuz, which Tehran says is close to being finalised, a development that raises queries about how Washington will respond following its weekend strikes on Iranian vessels. Iran has also cautioned that vessels near Oman’s coast remain at risk of attack, the report said.
Elsewhere in commodities, copper extended its rally to a fresh record on the London Metal Exchange, driven by speculation that US President Trump could widen US tariffs to cover refined metal imports. Gold also ticked higher in early Tuesday trading.
