Japan's Nikkei rebounded from a two-month low on Tuesday, with technology stocks leading gains, as investors scooped up beaten-down shares following a global sell-off after US Federal Reserve maintained its aggressive policy stance.
The Nikkei rose 0.83% to 26,651.60 by the midday break, after falling to its lowest since July 14 earlier in the session. The broader Topix advanced 0.96% to 1,882.09.
"Japanese shares are seen rebounding after (total) declines of more than 1,200 yen in the previous three sessions," said Toshiyuki Kanayama, senior market analyst of Monex.
Some investors were seeking dividend payments, Mizuho Securities said. Wall Street stocks fell again overnight as recession fears brought volatility to financial markets, pushing the pound to an all-time low against the greenback and pressuring oil prices.
The dollar fetched 144.42 yen in early Asian trade, against 144.72 yen in New York.
Shares of robot manufacturer Fanuc rose 1.77% to boost the Nikkei, followed by a 2.14% jump in battery maker TDK . Staffing agency Recruit Holdings gained 2.35%.
The market has been regaining momentum rapidly after a global sell-off in the wake of the U.S. Fed's policy tightening, said a market participant at a domestic brokerage.
Phone company KDDI Corp and chip-making equipment maker Tokyo Electron weighed on the index the most, losing 0.88% and 0.31%, respectively.
Shares of cosmetics maker Corp advanced 2.76% to lead the top 30 core Topix names, followed by Nintendo Co climbing 2.64%.
Only two sector sub-indexes on the Tokyo Stock Exchange traded in red, with real estate losing 0.14% and shippers dropping 0.26%.
There were 190 advancers in the Nikkei index against 24 decliners.
The volume of shares traded on the exchange's main board was 0.57 billion, compared with the average of 1.12 billion in the past 30 days.