Asian stocks ended mixed on Tuesday as investors stayed cautious ahead of the two-day Federal Reserve meeting despite a positive end on Wall Street in the overnight session.
U.S. stocks closed at a 14-month high with the Dow topping the 10,500 mark as news of an energy deal and a lifeline for Dubai helped buoy market sentiment.
Japan's Nikkei 225 stock average finished 0.2% lower, with tech shares such as Advantest and exporters losing ground. Advantest declined 1.8% and Kyocera slipped 0.6%.
But losses were countered by gains in property developers after Secured Capital Japan said it plans to buy a building in central Tokyo, in a deal sources said could be worth about $1.6 billion, prompting hopes for further investment in the sector. Its stock soared 11.6%.
Mitsubishi UFJ Financial Group regained lost ground to end up 1.4% after Japan's largest bank on Monday priced a share sale at 428 yen to raise up to 1.03 trillion yen ($11.6 billion) to help meet stricter global capital requirements. Shares of Mitsubishi UFJ have fallen 12% in the past four sessions as investors sold ahead of the expected new issuance.
The Korea Composite Index eked out a 0.1% gain at the finish in choppy trade with shipbuilders and refiners pressuring markets. Samsung Electronics showed a muted reaction after a new CEO was appointed for the firm. The stock ended down 0.3%.
Australia's benchmark S&P/ASX 200 index closed 0.4% higher, to a one-week closing high, with miners and the energy sector leading the third straight session of gains after a big U.S. takeover deal by Exxon Mobil .
Origin Energy, Santos and coal seam gas producer Arrow Energy all clocked in gains.
Greater China markets ended in negative territory, with the Taiwan Weighted down 0.2% while the Hang Seng and Shanghai Composite lost 1.2% and 0.9% respectively.
Chinese property stocks fell after China said it would take steps to cool the property market. That sent China Overseas Land and Shimao Property shares both tumbling nearly 6%. Chinese banking stocks like China Construction Bank and Industrial and Commercial Bank of China also declined on fears Beijing may soon implement measures to cool a lending binge, following its announcement to limit property price rises in China.
Alibaba.com, China's largest e-commerce company, bucked the downtrend to climb 1.8% after its CEO said he was confident the company's 2010 profit would beat this 2009, as China's foreign trade levels improved.
Debutante PCD Stores made a healthy debut to jump 30.8% above its IPO price of HK$1.95. The stock closed at HK$2.55.
In Southeast Asia, Singapore's Straits Times Index ended the day flat while Malaysia's KLCI rose 0.4%.
Singapore-listed Chemoil Energy was halted from trade as commodity trader Glencore said it would acquire a 51% stake in the firm and had offered to buy all remaining shares at an 18% discount.
