Asian bourses turned cautious on Tuesday after North Korea launched a missile, with the Reserve Bank of Australia keeping rates unchanged.
North Korea launched a missile on Tuesday, with officials saying it may have landed within Japan's exclusive economic zone.
South Korea's Kospi lost ground after the news, ending down by 0.58 percent, or 13.9 6 points, to close at 2,380.52. In the Japanese markets, the Nikkei 225 erased earlier gains to finish the session down by 0.12 percent, or 23.45 points, at 20,032.35.
The safe-haven yen strengthened following the news to trade at 112.94 to the dollar at 3:13 p.m. HK/SIN. The greenback had earlier traded close to a seven-week high of around 113.46 yen hit overnight against the yen before the missile launch.
Australia's benchmark S&P/ASX 200 index shrugged off the news to jump 1.75 percent, or 99.314 points, to finish at 5,783.8, on broad-based gains across the majority of its sub-indexes. The financials sub-index traded higher by 2.21 percent.
In greater China, the Hang Seng Index fell 1.54 percent at 3:20 p.m. HK/SIN. Hong Kong's Growth Enterprise Market (GEM) Index tumbled more than 1 percent to a fresh record low, according to Reuters.
Stocks on the mainland markets also fell. The Shanghai Composite was off by 0.39 percent, 12.4444 points, to close at 3,183.4672, and the Shenzhen Composite slipped 0.455 percent, or 8.6770 points, to end at 1,896.5267.