Markets in Japan and Australia opened lower on Wednesday, tracking overnight weakness in US markets as investors brace for a possible rise in US rates.
A five-session winning streak for Japan's Nikkei came to an end as shares were hit by the yen strengthening against the dollar.
Japan's benchmark Nikkei 225 was down 0.57% - or 97.38 points at midday - at 17,137.60. Profit-taking is adding to downward pressure after five sessions of gains.
Japan's benchmark Nikkei 225 index finished down 279.25 points, or 1.6%, at 16,955.73.
In Australia, the S&P ASX/200 was also lower, by 1.1% at 5,319.10 points.
The dollar fell to below 110 yen. A stronger yen is generally seen as negative for Japanese exporters.
In South Korea, the Kospi was flat with a negative bias at 1,982.26.
The moves came as Japan's Prime Minister, Shinzo Abe, announced a delay to a planned rise in sales tax.
Over in China the Shanghai Composite was flat at 2,920.28 points. Meanwhile in Hong Kong, the benchmark Hang Seng index was down a touch, by 0.15% to 20,780.30.
The increase in the sales tax rate to 10% from 8%, which had been planned for 2017, has now been pushed back to late 2019.
US markets closed mostly lower overnight, as investors weighed the prospect of a rate hike by the US central bank - the Federal Reserve.
Among individual stocks, Softbank rose by 0.4% after the Japanese technology firm said it was offloading $7.9bn (£5.4bn) worth of shares in Chinese e-commerce giant Alibaba. The transaction will reduce Softbank's stake in Alibaba from 32.2% to 28%.
Softbank shares have traded up by as much as 3.5% in Tokyo, outperforming the broader market. The Japanese technology firm has disclosed it is offloading $7.9bn (£5.4bn) worth of shares in Chinese e-commerce giant Alibaba. The transaction would reduce Softbank's stake in Alibaba from 32.2% to 28%.
In China, the Shanghai Composite edged down 0.1% to 2,913.51, while in Hong Kong, the benchmark Hang Seng index ended 54.11 points lower at 20,760.98.
The focus in Asia will mainly be on Japan. Prime Minister Shinzo Abe is reportedly due to announce a postponement in the nation's sales tax increase at a press conference later on Wednesday.
In Australia, the S&P ASX/200 index closed down 55.39 points, or 1% ,at 5,323.17.
The next increase in the tax was supposed to take place in April next year, boosting to 10% from the current 8%. But Japanese media have been reporting that Mr Abe wants to delay this until 2019.
South Korea's Kospi index was flat for most of the session and closed at 1,982.72.
