Investing.com - Asian shares were mixed though Nikkei 225 rose 1.3% after the Bank of Japan released its quarterly tankan business survey result.
Although the survey showed a deterioration in business sentiment following the recent sales tax increase, the market focused on data showing that large companies raised their combined investment plans for the financial year ending March to a 7.4% increase from a previous 0.1% rise forecast in the March survey.
The main economic event for Asia was the release of China''s official purchasing managers index that showed signs of improvement in China''s factory sector.
The June CFLP manufacturing PMI rose to 51, matching expectations and up from 50.8, marking the fourth straight monthly improvement and the best reading since last November.
"The PMI continued to rise indicating that the tendency towards economic stabilization is basically established. Various policy measures to stabilize growth have taken effect," said Zhang Liqun, a government economist, on the CFLP PMI.
As for HSBC''s PMI, the final came in at 50.7,just a shade below the surprisingly strong flash reading of 50.8.
The surveys strengthen the argument that China''s economy has finally stabilized after a difficult start to 2014.
"The HSBC China Manufacturing PMI final reading for June rebounded to 50.7, up from 49.4 in May, and relatively unchanged from the flash reading. This confirms the trend of stronger demand and faster de-stocking," said HSBC chief China economist Qu Hongbin.
But regional bourses that usually rise with good China figures fell with South Korea''s KOSPI downt 0.4%, the Shanghai Composite off 0.2% and Hong Kong was closed for a public holiday.
Australia''s S&P/ASX 200 however was up 0.2% ahead of the Reserve Bank of Australia''s interest rate decision and monetary policy statement.
Overnight, U.S. stocks finishedy mixed as investors digested hit-or-miss data and weighed how long the Federal Reserve will keep interest rates at their current rock-bottom levels. The Dow 30 fell 0.15%, the S&P 500 index fell 0.04%, while the NASDAQ Composite index rose 0.23%.
The National Association of Realtors reported earlier that pending home sales jumped 6.1% in May from April, far surpassing market calls for a 1.5% reading.
Separately, industry data released earlier revealed that the Chicago purchasing managers’ index declined to 62.6 this month from 65.5 in May, missing expectations for a 63.0 reading.
Investors were turning their attention to the U.S. June nonfarm payrolls report, which will release a day early on Thursday due to the Independence Day holiday on Friday.
Markets were eager for the release of a key manufacturing gauge on Tuesday as well.
While markets expect the Federal Reserve to wrap up its bond-buying program this year, uncertainty surrounding how much time the Fed will take between closing its stimulus measures and hiking interest rates sent stocks on a mixed ride on Monday.
On Tuesday, stocks will track Institute of Supply Management''s report on U.S. U.S. manufacturing activity.
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