Market Volatility Amid Mixed Asian Stock Performance

Asian stock markets experienced volatility amid mixed performances as investors braced for significant tech earnings reports. The dollar steadied near recent highs, and the yen stabilized post-political turmoil in Japan. Oil prices continued to decline amid Middle East tensions, while U.S. election speculation influenced dollar strength.

Asian stocks showed varying trends in a volatile session on Tuesday as investors prepared for a trilogy of major tech earnings on Wall Street, starting with Alphabet, Google's parent company, later today. The dollar maintained its position near a three-month high, ahead of key employment data from the U.S. The Federal Reserve's monthly job openings report is expected on Tuesday, with non-farm payroll figures coming Friday. Meanwhile, U.S. Treasury yields have eased slightly from their recent three-month peaks.

The yen rebounded after Monday's decline to a three-month low, following electoral setbacks for Japan's coalition government, impacting fiscal and monetary policy outlooks. The Nikkei index advanced from a tentative start, building on previous gains. As the U.S. election enters the last leg, with results too close to predict, some markets and betting odds favor a potential victory for Republican Donald Trump over Democrat Kamala Harris.

Crude oil prices retreated further, following Monday's drop amid indications that the conflict in the Middle East may not escalate, as Israel refrained from targeting oil and nuclear sites in its response to Iran over the weekend. The Nikkei finished up 0.77%, adding to its prior 1.82% rise. U.S. S&P 500 futures were static post a 0.26% increase overnight.

(With inputs from agencies.)