SYDNEY, July 1: Asian shares made guarded gains on Wednesday as investors gave a resigned shrug to news Greece had become the first developed economy to default on a loan with the International Monetary Fund.
While an unwelcome milestone for Athens, it came as no surprise to markets after weeks of debt-talk brinkmanship and the euro faded just a fraction to $1.1140. Brokers were also calling for modestly firmer openings for London, Paris and Frankfurt.
"There is so much uncertainty, speculation, truth and partial truth that many markets are in stasis; waiting to see which way this goes," said Emma Lawson, senior currency strategist at National Australia Bank.
Calming after two days of wild swings, MSCI's broadest index of Asia-Pacific shares outside Japan bounced 0.6 percent. Malaysian shares rallied 1.8 percent after Fitch unexpectedly raised the country's outlook to "stable".
Japan's Nikkei added 0.4 percent, a second day of modest gains as it stabilizes after Monday's steep fall.
There was unexpectedly upbeat news from the Bank of Japan's latest survey of manufacturers which improved in the three months to June, supporting the bank's view that growth is gathering momentum.
The data was mixed from China where surveys showed sluggish factory activity but a pick up in service sector, a sign the transition to a more consumer-led economy remained on track.
Chinese shares got off to another erratic start, first diving before crawling back to flat through the session. The CSI300 index was last up 0.1 percent, while the Shanghai Composite eased 0.1 percent.
Both indices had jumped on Tuesday as Beijing's efforts to stem recent selling seemed to gain traction.