Japan and Hong Kong stocks were set to open mixed Tuesday, with several Asia-Pacific markets closed for the Lunar New Year holiday. Japan's Nikkei 225 futures pointed to a lower open for the market. The futures contract in Chicago was at 39,150 and its counterpart in Osaka last traded at 39,050 compared to the index's previous close of 39,565.8.

The unveiling of a large language model by a Chinese firm that can compete with U.S. giants but at potentially a fraction of the cost was like a "nuclear bomb in the AI technology world", a market expert said on Tuesday.