The dips also came after top US and European military leaders met in Washington yesterday to discuss the mechanics of a possible Ukraine peace deal.

Recent days have seen a whirlwind of diplomatic efforts to resolve the protracted war after President Donald Trump’s high-stakes meeting with Russian counterpart Vladimir Putin in Alaska.

Eyes are now on potential face-to-face talks between Putin and Ukrainian President Volodymyr Zelensky, who has said he is ready for such a meeting.

The negotiations have sparked volatility in oil markets, which fell back yesterday from gains made on Monday.

Tokyo’s Nikkei dropped sharply during this morning’s trading, while shares in Hong Kong, South Korea, Taipei and Bangkok also fell. Shanghai, Sydney and Manila rose.

The previous day on Wall Street saw several major technology firms lose significant market share, including Nvidia, Palantir and Oracle.

The selloffs come amid increasing unease over a prolonged rally in tech stocks this year despite a range of uncertainties facing the global economy.

Among the challenges are biting tariffs unleashed by Trump on major US trading partners this year.

Official data showed this morning that Japanese exports suffered their steepest drop in more than four years last month.

Meanwhile, investors are eagerly awaiting a speech on Friday by US Federal Reserve chair Jerome Powell at the annual retreat of global central bankers in Jackson Hole, Wyoming.

Traders also hope Powell will provide more clues about a widely expected interest rate cut at the Fed’s next policy meeting in September, after data last week provided a mixed picture about inflation in the US0

“Powell’s Wyoming speech is being framed as a high-wire act,” wrote Stephen Innes of SPI Asset Management in a note.

“Too dovish, and he risks stoking long-end inflation fears; too stern, and he risks yanking the oxygen mask off equities already trading in rarified air,” Innes said.