MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS pared early losses to climb 0.3 percent while Japan's Nikkei .N225 ended 1.4 percent higher

·       Japan’s Nikkei rallied on Tuesday to its highest close since Feb. 1, led by insurers thanks to rising U.S. Treasury yields, though electronic suppliers underperformed as traders weighted the impact of new U.S. tariffs on Chinese goods.

The index opened lower but ended 1.4 percent higher - its biggest one-day gain in five weeks - at 23,420.54.

·       China’s yuan currency edged lower on Tuesday after U.S. President Donald Trump said Washington will impose duties on an extra $200 billion worth of Chinese imports, sharply escalating the trade fight between the two economic giants.

But Chinese stocks bounced in afternoon trading, after a wobbly early session, led by a rally in infrastructure stocks, with some betting that Beijing will step up investment in roads and bridges to offset the impact of the latest tariff salvo from Trump, much of which has already been priced in by the markets.

After trading sideways in the morning session, China's blue-chip CSI300 index .CSI300 rose 1.3 percent to 3,245.83 points at 6:03 GMT, while the Shanghai Composite Index .SSEC gained 1.1percent to 2,680.99 points.

·       Thailand is likely to keep benchmark interest rates on hold this week, according to the consensus view of strategists contacted by CNBC.

The country's central bank, which meets Wednesday to decide on policy, is under pressure to raise the lending rate from a record low of 1.5 percent after the economy grew 4.6 percent in the second quarter from a year ago. That exceeded a forecast of 4.5 percent, though growth expanded at a slower pace quarter-on-quarter, and ING economists said investment remains a "missing link" in the economy.

The state planning agency kept its 2018 growth forecast at 4.2 to 4.7 percent and raised its projection for export gains despite escalating global trade tensions.

Reference: Reuters, CNBC