FX.co ★ Asian Shares Mixed In Muted Trade; Indian Shares Slump

Asian stock markets presented a mixed picture on Tuesday, with Indian equities plummeting sharply as trends indicated the BJP falling below the majority mark in the Lok Sabha elections, contrary to exit poll predictions.

India's Sensex tumbled by 4.5 percent, with widespread selling across sectors. Losses in other markets were limited as weak U.S. economic data rekindled hopes for interest rate cuts by the Federal Reserve later this year.

The U.S. dollar remained stable against its major counterparts during Asian trading, after experiencing substantial losses in the New York session overnight.

Gold prices edged lower, while oil prices declined by more than 1 percent, adding to the over 3 percent losses from the previous session amid concerns about increased supply in 2024.

China's Shanghai Composite Index gained 0.41 percent to close at 3,091.20, following mixed signals from key Purchasing Managers' Index (PMI) data over the past two sessions.

Hong Kong's Hang Seng Index rose by 0.22 percent to 18,444.11, buoyed by recent stimulus measures for the property sector.

Japanese shares declined for the first time in three sessions, influenced by a strong yen and a safety test scandal affecting auto stocks. The Nikkei average slipped 0.22 percent to 38,837.46, while the broader Topix index fell by 0.38 percent to 2,787.48. Toyota Motor dropped 1.3 percent, and Honda Motor lost 2.2 percent.

Sony shares increased by nearly 2 percent as speculation waned that the electronics and media giant would acquire U.S. film studio Paramount Global.

In South Korea, stocks closed lower on profit-taking after notable gains in the previous session. The Kospi average fell by 0.76 percent to 2,662.10. Financial stocks weakened, with KB Financial and Shinhan Financial declining by 2.1 percent and 3.4 percent, respectively. Official data indicated that South Korea's headline inflation slowed to a 10-month low but remained above the central bank's 2.0 percent target.

Australian markets closed slightly lower due to losses in heavyweight mining and energy stocks. The benchmark S&P/ASX 200 fell by 0.31 percent to 7,737.10, ahead of the Q1 GDP data release on Wednesday. The broader All Ordinaries index decreased by 0.37 percent to 7,994.10.

In New Zealand, the benchmark S&P/NZX-50 index rose by 0.11 percent to 11,880.54.

U.S. stocks concluded the previous session mixed, with Treasury yields dipping and the dollar hitting a three-week low, as weak factory activity and construction spending data pointed to a gradual slowdown in the U.S. economy. The Nasdaq Composite, heavily weighted towards technology, gained 0.6 percent as Nvidia announced its next generation of AI chips. The S&P 500 edged up by 0.1 percent, while the Dow Jones Industrial Average fell by 0.3 percent.