Asian Shares Give Up Early Gains To End Mixed

(RTTNews) - Asian stocks surrendered early gains to end on a mixed note Tuesday as technology stocks succumbed to profit taking in China and Hong Kong after a recent powerful rally on AI optimism.

Amid much uncertainty around tariffs and geopolitical tensions, investors awaited cues from upcoming U.S. jobs and inflation data along with the Federal Reserve's rate decision.

China's Shanghai Composite index dropped 0.45 percent to 3,858.13 as Beijing prepares for a grand military parade. Hong Kong's Hang Seng ended down 0.47 percent at 25,496.55, dragged down by technology shares.

Japanese markets rebounded from their Monday losses after a 10-year bond sale saw its strongest demand since October 2023.

The Nikkei average rose 0.29 percent to 42,310.49, snapping a two-day losing streak amid mounting pollical uncertainty and increased bets for Bank of Japan rate hikes.

The broader Topix index settled 0.61 percent higher at 3,081.88 after Bank of Japan Deputy Governor Ryozo Himino's speech provided few clues on the future direction of interest rates.

Takashimaya rallied 3.3 percent and J.Front Retailing surged 4.3 percent as investors cheered positive sales reports by department stores.

Seoul stocks advanced as foreigners snapped their five consecutive sessions of selling. The Kospi average jumped 0.94 percent to 3,172.35.

Major tech shares rebounded after plunging in the previous session on reports that a Chinese company had developed a new artificial intelligence chip. Samsung Electronics gained 2.2 percent and SK Hynix added 1.8 percent.

Australian stocks declined in thin trading as several energy and consumer stocks traded ex-dividend. The benchmark S&P/ASX 200 slipped 0.30 percent to 8,900.60 ahead of Q2 GDP data due on Wednesday. The broader All Ordinaries index closed down 0.31 percent at 9,168.

Across the Tasman, New Zealand's benchmark S&P/NZX 50 index rose 0.48 percent to 13,133.16, posting its fourth consecutive session of gains.

The dollar wobbled near five-week lows in Asian trade while gold hit a record of over $3,500 an ounce before trimming some of those gains.

Oil extended gains as concerns about supply disruptions grew amid an escalation of the conflict between Russia and Ukraine.