Most major markets in Asia traded slightly lower on Tuesday, with Italian politics and the slide in oil prices in the spotlight overnight.
Japan’s Nikkei 225 edged down by 0.34 percent and the Topix was lower by 0.3 percent, with utilities holding onto gains as steelmakers led losses in early trade. Fast Retailing, a heavyweight on the index, slipped 0.37 percent.
Over in South Korea, the Kospi shed 0.11 percent as gains in the technology space failed to lift the broader index.
Down Under, the S&P/ASX 200 was subdued, last inching higher by 0.02 percent amid broad-based weakness. Energy stocks which had been hit in the last session pared some overnight losses, with Woodside Petroleum edging up by 0.63 percent, and heavily weighted financials also notched slight gains.
Several markets in Southeast Asia, including Singapore, Malaysia and Thailand, are closed on Tuesday for a holiday.
Stocks in Europe closed lower on Monday, with Italy’s FTSE MIB falling more than 2 percent amid an ongoing political crisis.
The leader of Italy’s Five Star Movement party called for the country’s president, Sergio Mattarella, to be impeached after the latter chose to veto a pick for economy minister. Mattarella on Monday appointed a former International Monetary Fund economist to the role of interim prime minister, with snap elections expected.
The euro came under pressure on the back of that uncertainty, trading at $1.1625 at 8:00 a.m. HK/SIN.
Investors were also likely to keep an eye on geopolitical developments involving North Korea after delegations from the U.S. and the hermit state met on Sunday. That came despite U.S. President Donald Trump’s announcement last week that he was canceling a planned summit in June with North Korean leader Kim Jong Un.
The U.S. has readied sanctions on Pyongyang that could be unveiled soon, but was reportedly postponing the measures as the two countries attempted to resurrect talks.
U.S. and U.K. markets were closed on Monday for holidays.
Oil prices were mixed on Tuesday: U.S. crude futures were down 1.24 percent at $67.04 per barrel and Brent crude futures edged higher by 0.61 percent to trade at $75.76.
Prices had dropped on Monday after top producers Saudi Arabia and Russia last week signaled they could raise production.
— CNBC’s Sam Meredith contributed to this report.
