Oil slipped today as swelling US inventories outweighed concerns that producer cartel Opec may cut output to defend prices, but cheaper energy costs failed to help Asian stocks match Wall Street gains.
Japanese government bonds fell and the yen steadied after a raft of data from the world's second-largest economy reinforced market expectations that the Bank of Japan will raise interest rates only gradually.
Asian share markets were mostly flat-to-lower, despite a rise of 0.25 per cent in US stocks - which saw the Dow Jones industrial average briefly top its record closing level set in January 2000 - as falling oil prices boosted optimism that the United States economy will avoid a sharp slowdown.
But Japan's Nikkei rose to its best close in three weeks, driven by a surge in shares of Internet and communications conglomerate Softbank on hopes of a revival at its mobile phone venture.
Shares of Sony fell 0.8 per cent on news of another recall by notebook PC makers of potentially faulty battery packs made by the company.
The Nikkei rose 0.6 per cent to its highest close since September 6th, while MSCI's broadest index of shares elsewhere in Asia was virtually unchanged.
Oil has fallen around 20 per cent since hitting a record $78.40 in July - its steepest fall for 15 years.