Asian Shares Mostly Up; Handset Makers Rise

Most Asian stock markets were modestly higher Tuesday, while key regional handset makers posted solid gains after Google announced a multibillion dollar deal to buy Motorola Mobility Holdings.

Demand across many markets was subdued, and the risk-sensitive euro was modestly lower.

"The storm seems to have dissipated for now and stocks are returning to more sensible levels but there is still a lot of caution out there in the world," said Macquarie Equities broker Brad Gordon.

Japan's Nikkei Stock Average added 0.1%, Australia's S&P/ASX 200 fell 0.4%, the Shanghai Composite Index was off 0.3%, Hong Kong's Hang Seng Index rose 0.4% and India's Sensex was up 0.8%. South Korea's Kospi Composite jumped 4.3% on solid buying from foreign investors, playing catch-up after the market was closed Monday.

Dow Jones Industrial Average futures were down 32 points in screen trade.

Taiwan's HTC advanced 2.2%, while in Seoul, Samsung Electronics advanced 3.9% and LG Electronics added 1.0%. Meanwhile, Hong Kong-listed Foxconn International jumped 14% and Taiwan's Compal Communications was limit up 7%; both handset makers are key clients of Motorola.

In Tokyo, shares of Softbank, the sole distributor of Apple's iPhone and iPad in Japan, fell 0.5%.

The Sydney market was weighed by losses in bank sector stocks as Westpac Bank lost 4.4% after disappointing results. Qantas Airways led gainers, rising 3.8% as investors welcomed news it will invest in a new premium airline in Asia and launch a low-cost carrier in Japan in an effort to turn around its loss-making international flights business.

The euro was modestly lower against the U.S. dollar and the yen as investors awaited a Franco-German summit later in the day for any developments on a common euro-zone bond.

Markets were also focused on the Swiss franc amid continued speculation Swiss authorities may be working toward establishing a euro-franc peg.

The single currency was at $1.4427 against the dollar, from $1.4445 late Monday in New York, and at Y110.86 against the yen, from Y111.00, and at CHF1.1275 against the Swiss franc from CHF1.1324. The dollar was at Y76.82, from Y76.85.

September Japanese government bond futures were up 0.04 at 142.15 points.

Spot gold was at $1,764.30 per troy ounce, down $1.90 from New York trade. September Nymex crude oil futures were down 48 cents at $87.40 per barrel on Globex.