Asian shares were mostly positive on Wednesday, after brushing off a North Korean ballistic missile test ahead of an upcoming meeting between U.S. President Donald Trump and Chinese President Xi Jinping.
The Nikkei 225 in Japan recovered 51.02 points, or 0.3%, to 18,861.27
In Hong Kong, the Hang Seng Index returned from holiday to gain 139.82 points, or 0.6%, to 24,400.80
Toshiba has reportedly appealed to its creditors for a new loan and offered a stake in its memory chip unit as collateral.
The Japanese conglomerate's semiconductor business is currently in the process of being split off, after it reported a multi-billion dollar loss related to its U.S. nuclear power plant construction subsidiary. Shares of Toshiba spiked 3.92 percent at 214.9 yen per share.
South Korea's central bank chief Lee Ju-yeol said policy efforts are needed to restore private consumption that have been affected by several factors, including the political scandal involving ousted President Park Geun-hye.
Asian banks were mostly in the doldrums. Major Japanese banks were in the red, with Mitsubishi UFJ and Mizuho Financial both lower by 1% at 676.8 and 197.2 yen per stock respectively. With the exception of the Commonwealth Bank of Australia, major Australian banks ended in the red. Chinese banks were mixed, with Bank of China lower by 0.5% but China Construction Bank higher by 1%
Against the U.S. dollar, the yen was weaker at 110.70, versus levels around 111 seen earlier this week, and the Australian dollar was softer at $0.7577 U.S., slipping from the $0.7600 handle it traded at yesterday.
North Korea reportedly launched a medium-range ballistic missile from a land-based facility, ahead of a summit between U.S. and Chinese leaders on Thursday and Friday. Following the missile test, Japanese Prime Minister Shinzo Abe cautioned that North Korea could take further action.
But one strategist told media outlets North Korea's latest missile test is not any different from previous acts of defiance, and added that investors should not be overly concerned.
Meantime, a senior White House official said Tuesday evening that the meeting between Trump and Xi is seen as the first step in a "results-oriented relationship." The official added that Trump sees North Korea as a test for the U.S.-Chinese relationship.
Australian markets picked up strength, as gains were largely supported by the materials sub-index, which surged 2.2%, and the energy sub-index, which jumped 1.5%.
In other markets
The CSI 300 in Shanghai returned to business after a long weekend to gain 47.84 points, or 1.4%, to 3,503.89
In Taiwan, the Taiex index also came back from holiday with a big gain of 137.96 points, or 1.4%, to 9,949.48.
The Kospi Index in Korea faded 0.25 points to 2,160.85
In Singapore, the Straits Times Index fell 2.51 points, or 0.1%, to 3,176.55
In New Zealand, the NZX 50 gained 20.52 points, or 0.3%, to 7,265.05
In Australia, the S&P/ASX 200 recovered 19.64 points, or 0.3%, to 5,876.20
