Asian stocks retreated on Tuesday as investors booked profits following weeks of tech-driven rallies, while uncertainty over US monetary policy and weak economic data dampened sentiment. Japan's Nikkei, Taiwan's TAIEX, and South Korea's KOSPI all slipped after hitting record highs earlier in the day. The Nikkei fell 0.4 per cent after touching a new peak of 52,636.87, Taiwan's benchmark dropped 0.3 per cent, and the KOSPI tumbled 1.7 per cent following a 2.8 per cent surge on Monday. Hong Kong's Hang Seng gained 0.2 per cent, while China's CSI300 eased 0.4 per cent. Australia's ASX fell 0.7 per cent after the Reserve Bank of Australia kept rates unchanged, saying part of the recent inflation uptick was temporary but warning against premature easing. The Australian dollar weakened slightly to $0.6531. The US dollar rose to a nine-month high against the yen and a three-month high versus the euro as traders scaled back expectations for a December rate cut, now seen at 65 per cent versus 94 per cent a week earlier. Diverging comments from Federal Reserve officials added to market caution. Attribution: Reuters
