Asian Shares Mixed Before US Inflation Data, Fed Minutes

Asian stocks ended mixed on Wednesday as investors awaited U.S. CPI data and the Fed's March meeting minutes to assess the speed and timing of Federal Reserve interest rate cuts.

The dollar was little changed in Asian trade while gold scaled another record high, buoyed by ongoing geopolitical tensions and renewed concerns over inflation. Oil prices saw modest gains after a two-day decline.

China's Shanghai Composite index fell 0.70 percent to 3,027.34 after a rating downgrade of China's sovereign credit rating to negative by Fitch. The focus was also on Chinese inflation data due on Thursday.

Hong Kong's Hang Seng index jumped 1.85 percent to 17,139.17, with technology stocks leading the surge.

E-commerce giant Alibaba Group Holding soared 5.1 percent after co-founder Jack Ma penned a lengthy memo to employees endorsing the internet giant's restructuring efforts. Peers Baidu and Tencent rose 1.9 percent and 3.2 percent, respectively.

Japanese stocks declined after Bank of Japan Governor Kazuo Ueda ruled out responding to a weakening yen with a rate hike.

Meanwhile, data released earlier today showed Japanese producer price index inflation grew slightly less than expected in March.

The Nikkei average dropped 0.48 percent to 39,581.81 while the broader Topix index settled 0.43 percent lower at 2,742.79.

Seven & i Holdings fell 1.6 percent after reports the retail giant is considering an initial public offering for its supermarket business.

South Korean financial markets were closed for parliamentary elections.

Australian markets eked out modest gains as higher commodity prices on signs of an improvement in global manufacturing activity boosted heavyweight mining stocks.

The benchmark S&P ASX 200 rose 0.31 percent to 7,848.50, extending gains for a third straight session. The broader All Ordinaries index ended up 0.35 percent at 8,109.70.

Across the Tasman, New Zealand's benchmark S&P NZX-50 index rose 0.46 percent to
11,971.92 after the country's central bank left its official cash rate unchanged for the sixth consecutive time and gave no hints that it interest-rate cuts are coming.

U.S. stocks saw considerable volatility before closing mixed overnight as investors awaited fresh clues on the path of interest rates.

Rising metals prices and bond yields also sparked inflation worries ahead of key inflation readings and bank earnings.

The tech-heavy Nasdaq Composite rose 0.3 percent and the S&P 500 edged up 0.1 percent while the Dow finished marginally lower.

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