Meanwhile, the Federal Reserve's monetary policy report released on Friday indicated "gradual adjustments" in policy ahead, given how policymakers saw the U.S. economy past full employment.
The release of the report came ahead of Fed Chair Jerome Powell's testimony before Congress on Tuesday. Markets are awaiting his comments for clues on the central bank's interest rate hike path.
"Assuming that Powell does not rock the boat and reiterates a gradual tightening path, this may clear the way for markets to continue on its risk-on mode in the interim," said OCBC Treasury Research in a morning note.
In individual stocks, Geely soared 7.11 percent in Hong Kong by 3:23 p.m. HK/SIN following news last Friday that its chairman had accumulated a 9.7 percent stake worth $9 billion in German automaker Daimler.
Meanwhile, shares in mainland China with the word "emperor" in their names got a boost after the Communist Party moved to drop a two-term limit on the country's presidency, Reuters first reported. One of those stocks, Shenzhen Emperor Technology, closed up 7.36 percent.
Elsewhere, Australia's BlueScope Steel rose 2.26 percent after the company reported first-half net profit after tax rose 23 percent to come in at 441.2 million Australian dollars ($345.8 million).
Shares of QBE Insurance Group closed down 3.26 percent after it posted a net loss of $1.25 billion for the year ending Dec. 31, below the $844 million profit seen one year ago. After taxes, cash loss for the year came in at $258 million.
In currencies, the dollar index, which tracks the greenback against a basket of six currencies, slipped to trade at 89.658 at 2:44 p.m. HK/SIN, giving up some of its gains made last week.
Against the yen, the dollar softened to trade at 106.51.
Moves in the dollar came as yields on the 10-year U.S. Treasury note retreated further from a recent four-year high. The 10-year yield last stood at 2.855 percent.
On the commodities front, oil prices edged up after touching two-week highs in the previous session. U.S. crude futures rose 0.35 percent to trade at $63.77 per barrel and Brent crude futures added 0.18 percent to trade at $67.43.