Japanese markets ended a choppy session slightly higher as data showed Japan's manufacturing activity moved closer to stabilization in August and businesses boosted investment in the second quarter of the year.
The Nikkei average edged up 0.14 percent to 38,700.87 while the broader Topix index settled 0.12 percent higher at 2,715.99.
A weaker yen lifted automakers, with Nissan Motor, Toyota and Honda Motor rising between half a percent and 1.4 percent.
The manufacturing sector in Japan continued to contract in August, albeit at a slower rate, the latest survey from Jibun Bank revealed on Monday with a manufacturing PMI score of 49.8.
That's up from 49.1 in July, although it remains beneath the boom-or-bust line of 50 that separates expansion from contraction.
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