In Asian Equity Markets the Nikkei 225 edged down by 0.33 percent, with the financial subindex, which fell 2.57 percent, the worst sector performer. Utilities and and miscellaneous product makers also tracked lower. Hong Kong’s Hang Seng Index edged lower by 0.44 percent. A similar magnitude of declines were seen in mainland markets, with investors digesting the release of official manufacturing PMI that slightly missed expectations. The Shanghai Composite shed 0.45 percent and the Shenzhen Composite inched down by 0.2 percent.

In Currency Markets the yen edged up against the U.S. dollar on Tuesday as investors braced for the highly-anticipated policy decision later in the day from the Bank of Japan. The dollar was 0.1 percent lower at 110.93 yen, with markets preparing to see whether the Japanese central bank is considering steps to tweak its massive stimulus program to make it more sustainable. The dollar has eased more than 2 percent since hitting a six-month peak of 113.18 yen on July 19, following speculation the BOJ was gearing up to tweak its policy.

In Commodities Markets oil prices slipped on Tuesday after a report showed that OPEC production reached a 2018 high in the month of July, although the losses were limited as concerns about supply lingered. September Brent crude futures fell 7 cents to $74.90 a barrel, after rising 68 cents, or 0.9 percent, on Monday. U.S. West Texas Intermediate crude futures (WTI) were down 6 cents at $70.08, after rising more than 2 percent in the previous session. OPEC hiked production by 70,000 barrels per day to 32.64 million bpd, in July, a 2018 high.

In US Equity Markets a broad decline of technology stocks pushed all three major U.S. stock indexes lower, with the Nasdaq Composite set to post its third consecutive loss of more than 1 percent for the first time since August 2015. The S&P 500 lost 0.41 percent, to 2,807.13 and the Nasdaq Composite fell 1.22 percent, to 7,643.29. Of the 11 major sectors of the S&P 500, five were in negative territory. Caterpillar Inc raised its full-year profit outlook after strong global demand helped the company beat second-quarter expectations. Caterpillar ended up 0.2 percent, paring earlier gains.

In Bond Markets U.S. Treasury bond yields ended Monday flat on the day as investors traded cautiously in the lead up to Tuesday’s interest-rate policy decision from the Bank of Japan. The benchmark 10-year government bond hit 2.99 percent on Monday morning, its highest since June 13, before falling to 2.98 percent. he two-year note yield was little changed from Friday at 2.67 percent. The 30-year bond yield was up over a basis point from Friday to 3.11 percent.