China's CSI 300 index futures (IF) front-month contract fell more than 2.00% intraday to 4,730.4 points.

Japanese government economic adviser Nagase expects the BOJ to hike at year-end, hike again next summer, then pause further increases.

Combined turnover on the Shanghai and Shenzhen exchanges totaled CNY3.4506 trillion on July 2, down CNY209.45 billion from the prior session. Shanghai turnover was CNY1.5772 trillion (prior CNY1.6985trn), volume 656 mln lots (672 mln); Shenzhen turnover was CNY1.8734 trillion (prior CNY1.9615trn), volume 857 mln lots (874 mln). BOE Technology A led stock-level turnover at CNY49.342 billion, followed by Zhongji Xuchuang CNY36.721bn, Xin Yisheng CNY36.574bn, GigaDevice CNY32.121bn and Montage Technology CNY25.643bn.