MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.3%, poised for a gain of 5.3% this month

Shares in Asia edged higher on Tuesday, while gold kept up its record ascent.

The Australian dollar added to gains after the Reserve Bank of Australia (RBA) held policy rates unchanged, as widely expected. Oil dropped on prospects for greater production by OPEC+, while China’s manufacturing activity declined for a sixth month in September.

MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.3%, poised for a gain of 5.3% this month. Nikkei stock index advanced 0.1%, reversing from early losses.

China’s blue-chip CSI300 Index added 0.2%, set for a fifth straight month of gains in its longest such streak since October 2017.

In Asian economic data, China’s purchasing managers’ index (PMI) rose to 49.8 in September versus 49.4 in August, below the 50-mark separating growth from contraction.

It suggested producers are waiting for further stimulus to boost domestic demand.

Data in Japan showed factory output dropped more than expected in August.

The RBA left its cash rate steady at 3.60%, saying recent data suggested inflation might be higher than forecast in the third quarter and that the economic outlook remained uncertain.

The economic and trade uncertainty was a tailwind for gold, which reached an all-time high $3,866.99.

Meanwhile, U.S. Vice President JD Vance said the government appeared “headed to a shutdown” after little progress in budget talks between President Donald Trump and Democratic opponents.

It does look as though markets are bracing themselves for the likelihood that we will see a shutdown, Ray Attrill, the head of FX research at National Australia Bank, said on a podcast.

If we know we’re not going to get the payrolls numbers, it will just shine a brighter spotlight on the numbers that we do have, Attrill added.

The dollar slipped 0.1% to 148.46 yen after Monday’s slide of 0.6%. The euro was flat at $1.1724, and the Australian dollar strengthened 0.5% versus the dollar to $0.6605.