Major Asian markets advanced on Tuesday, with sentiment likely underpinned by cooling Chinese inflation data helping to spur stimulus hopes.
The Nikkei 225 gained 114.4 points, or 0.7%, to 16,764.97.
In Hong Kong, the Hang Seng Index — after several days of hefty gains -- eased off 29.15 points, or 0.1%, to 22,465.61
The Japanese yen remained weaker against the U.S. dollar, trading at 102.43, compared with levels below 101.5 last Wednesday.
In Australia, business conditions cooled a little in July according to a monthly survey by the National Australia Bank. Reuters reported NAB's survey of more than 500 firms showed its index of business conditions fell three points to +8 in July. The index of business confidence eased a point to +4 in July, after rising three points in June
In company news, Australian firm Cochlear, which makes hearing implants, announced net profit for the year ended June 2016 was up 30% on-year at 188.9 million Australian dollars ($144.5 million U.S.). The company will pay a final dividend of A$1.20 per share, up 20% from a year earlier.
Cochlear shares, however, were down 2.9% in afternoon trade amid slowing growth forecasts and after the stock surged more than 30% so far this year.
Major energy plays across the region closed mostly higher, following a nearly 3% advance in oil prices on Monday. There was speculation over whether producers might rein in supply after reports said OPEC President Mohammed bin Saleh al-Sada confirmed a September meeting on Monday.
Shares of Santos gained 1.7%, Woodside Petroleum was up 1.1% and Oil Search was up 1.4%. Japan's Inpex gained 3.3%, Fuji Oil was up 4.3% and Japan Petroleum advanced 2.4%.
CHINA
The Shanghai CSI 300 gained 22.8 points, or 0.7%, to 3,256.98
Data from the National Bureau of Statistics in China showed the mainland's consumer inflation rose 1.8% on-year, in line with expectations, while producer prices fell 1.7% on-year
Key economic indicators including industrial production, fixed asset investment and retail sales were also due from China in the coming days in another pulse-check for the world's second largest economy.
In other markets
Markets in Singapore were shuttered for holiday
The Taiex Index in Taiwan added 4.82 points, or 0.1%, to 9,155.08
In Korea, the Kospi moved up 12.66 points, or 0.6%, to 2,043.78
In New Zealand, the NZX 50 advanced 14.86 points, or 0.2%, to 7,363.16
The ASX 200 gained 14.71 points, or 0.3%, to 5,552.55
