(fxcue news) - Asian stocks fluctuated before closing higher on Tuesday as new U.S. curbs on semiconductor exports to China proved to be less harsh than previously expected. Sentiment was also boosted by expectations of a Federal Reserve rate cut later this month and speculation that a key economic meeting expected in December may unleash more Chinese stimulus. Gold and oil prices were modestly higher in Asian trading despite the U.S. dollar strengthening amid political uncertainty in France and concerns over faltering economic growth in China. China's Shanghai Composite index ended 0.44 percent higher at 3,378.81, recovering from an early slide after the U.S. announced new export controls on China's chip industry. China's commerce ministry described the restrictions, the third such set of curbs under the Biden administration, as an example of "economic coercion" and "non-market practices." Hong Kong's Hang Seng index closed up 1 percent at 19,746.32 after a choppy session. Japanese markets rallied to hit a three-week high on optimism that Japan-made chip products will be exempted from new U.S. curbs on exports to China. The Nikkei average jumped 1.91 percent to 39,248.86 while the broader Topix index settled 1.43 percent higher at 2,753.58. Chip-making equipment giant Tokyo Electron surged 4.3 percent, peer Advantest climbed 3.9 percent and AI-focused startup investor SoftBank Group advanced 2.7 percent. Uniqlo-owner Fast Retailing gained 2.5 percent and electronic components maker TDK added 1.9 percent. Seoul stocks logged strong gains as U.S. curbs on China had a limited impact on the market. The Kospi average gained 1.86 percent to close at 2,500.10. SK Hynix, KB Financial and Shinhan Financial surged 4-5 percent. Korea Zinc soared 9.3 percent amid the company's management dispute. Australian markets hit a new record high, with healthcare stocks leading the surge. The benchmark S&P/ASX 200 rose 0.56 percent to 8,495.20 while the broader All Ordinaries index closed up 0.57 percent at 8,754.70. Across the Tasman, New Zealand's benchmark S&P/NZX-50 index slipped 0.16 percent to 13,093.18. Overnight, tech-related shares had a good session on Wall Street ahead of a slew of economic data, including private and non-farm payroll reports, JOLTs, and readings on manufacturing activity, due this week. Data showed a measure of U.S. manufacturing activity improved in November but continued to indicate contraction. The S&P 500 gained 0.2 percent and the tech-heavy Nasdaq Composite jumped 1 percent to hit new record closing highs, while the Dow dipped 0.3 percent.