Asia-Pacific markets traded mixed on Tuesday, despite overnight gains on the S&P 500 and Nasdaq, driven by optimism over strong corporate earnings. Investor caution intensified ahead of the August 1st U.

Japanese Prime Minister Shigeru Ishiba said Monday he will stay in office to tackle challenges such as rising prices and high U.S. tariffs after a weekend election defeat left his coalition with a minority in both parliamentary chambers and triggered calls for his resignation.

Tokyo and Washington have been negotiating a deal to avoid 25% US tariffs on Japanese exports to the world's largest economy. On July 7, Trump notified several US trading partners of increased country-specific "reciprocal tariff" rates, with Japan due to be subject to 25% tariffs as of Aug. 1 unless another deal is reached beforehand.