Asian stocks steadied on Tuesday, while oil eased from overnight highs, after Israel and Iran signalled a pause in attacks that gave investors a reason to buy back into battered risk assets.

The rebound was clearest in markets that had suffered the sharpest falls a day earlier, with chip-heavy South Korea leading gains as traders returned to semiconductor names.

The move, however, looked more like a tactical bounce than a broad turn in sentiment.

Wall Street’s overnight advance had weak foundations, with most S&P 500 constituents finishing lower even as the index itself edged up.

Futures for US and European shares were also subdued in Asian trading, suggesting investors were still reluctant to chase the rally while bond yields remained elevated and shipping through the Strait of Hormuz stayed heavily disrupted.

Risk appetite returns, but only at the margin

South Korea’s Kospi climbed 3.4%, clawing back part of Monday’s 8%-plus slide, when forced selling and stretched valuations collided with renewed anxiety over chip demand.

The market had been among the world’s strongest performers before the selloff, leaving retail investors exposed through leveraged positions.

Japan’s Nikkei rose 0.9% after dropping 3.9% in the previous session, while MSCI’s broadest gauge of Asia-Pacific shares outside Japan advanced 1.5%.

Chinese blue chips added 0.4% after trade figures showed exports rising 19.4% in May and imports increasing 27.4%, both above expectations.

The data pointed to resilience in China’s external sector, even as domestic demand remains uneven and US tariffs continue to reshape trade flows.

The rebound was not uniform. Euro Stoxx 50 and DAX futures slipped 0.4%, while FTSE futures fell 0.2%.

S&P 500 and Nasdaq futures were little changed after modest gains on Monday.

Investors are now looking to Oracle’s earnings on Wednesday for the next read on whether artificial intelligence spending can keep supporting large-cap technology valuations.

Oil eases from highs as dollar holds firm

In currencies, the dollar stayed firm at 160.17 yen, close to Monday’s high of 160.395.

Traders remain alert to the risk of Japanese intervention if the currency weakens beyond April’s 160.725 level. The euro hovered near a nine-week low at $1.1538, while sterling recovered slightly to $1.3347.

Brent crude fell 0.7% to $93.57 a barrel after reaching $98 overnight, while US crude slipped 0.7% to $90.62.

Gold was little changed near $4,334 an ounce, above Monday’s two-month low of $4,268.39.

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