Asian shares slipped Tuesday as setbacks for a health care overhaul in the US cast doubt over prospects for a range of reforms backed by President Donald Trump.
Expectations the US Federal Reserve will move cautiously in raising interest rates also sent the dollar lower.
Japan's benchmark Nikkei 225 lost 0.6 per cent to 19,991.86 in morning trading as the yen gained against the dollar. Australia's S&P/ASX 200 dipped 1.1 per cent to 5,692.00.
South Korea's Kospi edged 0.1 per cent lower to 2,422.30. Hong Kong's Hang Seng lost 0.3 per cent to 26,391.60, while the Shanghai Composite slipped 0.2 per cent to 3,169.57.
US stocks ended virtually flat, with the S&P 500 index down 0.13 points at 2,459.14. The Dow Jones industrial average shed 8.02 points to 21,629.72.
The Nasdaq composite gained 1.97 points to 6,314.43. The Russell 2000 index of smaller-company stocks rose 2.79 points, or 0.2 per cent, to 1,431.60.
Benchmark US crude added 8 cents to $46.10 a barrel in electronic trading on the New York Mercantile Exchange. It lost 52 cents, or 1.1 per cent, to $46.02 a barrel in New York.
Brent crude, used to price international oils, rose 9 cents to $48.51 a barrel in London.
The dollar has been weakening as investors conclude the US government is unlikely to enact a significant infrastructure spending package to boost the economy.
The dollar slipped to 112.12 yen from 112.66 yen late Monday in Asia. The euro rose to $1.1536 from $1.1460.
