GLOBAL MARKETS-Shares stabilise, try to shrug off U.S. tech rout scare

* Ex-Japan Asia up 0.37%, Nikkei rises 0.4%
* S&P500 futures up 0.5%, Nasdaq futures down 0.1%
* U.S. debt yields off lows
* Asian stock markets: https://tmsnrt.rs/2zpUAr4

By Hideyuki Sano and Julie Zhu
TOKYO/HONG KONG, Sept 8 (Reuters) - Asian shares and U.S.
stock futures regained some footing on Tuesday following a small
bounce in European markets as investors looked to whether
high-flying U.S. tech shares could recover from their recent
rout.
Japan's Nikkei .N225 advanced 0.4% as revised data
confirmed the nation had slumped into its worst postwar
contraction, with business spending taking a bigger hit from the
coronavirus than initially estimated. China's blue-chip index .CSI300 tacked on 0.2% while Hong
Kong's Hang Seng .HSI gained 0.6%, even as President Donald
Trump on Monday ramped up his anti-Chinese rhetoric by again
raising the idea of de-coupling the U.S. and Chinese
economies. Elsewhere, Australian shares .AXJO rose for a second
straight session, up 0.8% as optimism around the development of
potential COVID-19 vaccines underpinned investor sentiment, with
miners and financials leading the charge.
That left MSCI's broadest index of Asia-Pacific shares
outside Japan .MIAPJ0000PUS up 0.37%.
U.S. financial markets were shut on Monday for a public
holiday while Europe's STOXX 600 index .STOXX was 1.7% higher.
Globally traded U.S. S&P500 futures EScv1 erased their
Monday losses to trade 0.5% higher. Tech shares remained more
fragile, however, with Nasdaq futures NQcv1 dipping 0.1% after
having lost more than 6% late last week.
While many market players were unable to pinpoint a single
trigger for the Nasdaq's sudden plunge, valuations have been
stretched given its sharp 75% gain from a bottom hit in March.
"Those tech shares were becoming expensive so I would see
their latest fall as a healthy correction," said Masahiro
Ichikawa, senior strategist at Sumitomo Mitsui DS Asset
Management.
Risk assets also face headwind from creeping doubts that
U.S. policymakers may not be willing to compile massive stimulus
as some traders had hoped for.
"The headline figures from Friday's U.S. jobs data were
pretty good, so that could lead to speculation policymakers may
no longer be eager to dole out trillions of dollars to support
the economy," said Masahiko Loo, portfolio manager at
AllianceBernstein.
"Markets may have gone too far in expecting the Federal
Reserve to announce more easing steps this month," he said,
adding receding expectations is one reason behind a rise in U.S.
bond yields last week.
The 10-year U.S. Treasuries yield stood at 0.716%
US10YT=RR , off a five-month low of 0.504% touched in August.
In currencies, sterling dropped after the European Union
told Britain on Monday that there would be no trade deal if it
tried to tinker with the Brexit divorce treaty. The warning came after British Prime Minister Boris
Johnson's government was reported to be planning new legislation
to override parts of the Brexit Withdrawal Agreement it signed
in January.
The pound last fetched $1.3147, having lost 0.80% on Monday
to $1.3167 GBP=D4 , near its lowest levels in two weeks.
Other currencies barely moved with rises in U.S. yields
helping to stem the dollar's recent weakness.
The euro eased slightly overnight to $1.1818 EUR= and was
last trading at $1.1804, while the dollar was little moved at
106.31 yen JPY= .
Gold prices eased on Tuesday, although rising doubts over
the economic recovery from the COVID-19 slump limited losses.
Spot gold XAU= was down 0.1% at $1,925.96 per ounce.
Oil prices dropped to five-week lows after Saudi Arabia made
its deepest monthly price cuts to supply for Asia in five months
and as uncertainty over Chinese demand clouds the market's
recovery. U.S. WTI futures CLc1 fell 1.6% to $39.13 per barrel.