Asian Shares Mixed Before Key US Inflation Data

(RTTNews) - Asian stocks turned in a mixed performance on Tuesday amid global political turmoil and ahead of key U.S. inflation readings due this week that could influence the Federal Reserve's rate trajectory.

Amid growing concerns over a softening U.S. labor market, traders currently expect almost three Fed cuts this year, starting this month.

China's Shanghai Composite index dipped 0.51 percent to 3,807.29, a day after data showed China's export growth slowed to the weakest in six months. Chipmaking giant SMIC plummeted 10.3 percent after an acquisition deal.

Hong Kong's Hang Seng index jumped 1.19 percent to 25,938.13, hitting a four-year high after the Nasdaq notched a record-high close overnight on Fed rate-cut hopes.

Japanese markets ended lower after posting strong gains in the previous session on optimism over trade and expectations for looser fiscal policy, following the resignation of fiscal hawk Prime Minister Shigeru Ishiba.

The Nikkei average climbed past the key 44,000 mark for the first time before surrendering early gains to settle 0.42 percent lower at 43,459.29. The broader Topix index ended down 0.51 percent at 3,122.12.

Tech stocks followed their U.S. peers higher, with chip-testing equipment maker and Nvidia supplier Advantest surging 6.5 percent and Tokyo Electron rising over 2 percent.

Seoul stocks rose for a sixth consecutive session to a yearly high as tech and chemical stocks gained ground on expectations of a policy reversal regarding market-friendly tax reforms.

The Kospi average climbed 1.26 percent to 3,260.05, surpassing the previous record set on July 30.

Australian markets fell notably, with banks declining after ANZ said it would cut 3,500 jobs next year as part of a wide-ranging revamp under new Chief Executive Officer Nuno Matos.

Miners also succumbed to profit taking due to concerns over weak Chinese demand during the military parade week. The benchmark S&P/ASX 200 dropped 0.63 percent to 8,793.60 while the broader All Ordinaries index closed 0.61 percent lower at 9,071.20.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index slipped 0.21 percent to 13,253.73, snapping a three-day winning streak.

Gold scaled a record peak in Asian trade, buoyed by a weaker U.S. dollar and a dip in bond yields. Oil prices were up more than 1 percent as investors weighed Russia supply risks.

Overnight, U.S. stocks ended higher amid optimism around a potential Federal Reserve rate cut next week.

The tech-heavy Nasdaq Composite gained half a percent to hit a fresh record high while the Dow rose 0.3 percent and the S&P 500 inched up 0.2 percent.