Wall Street drags Asian shares; RBA to take rate cut decision today

Asian shares slumped in early trading on Tuesday as Wall Street dragged on the back of weak US crude oil prices, a Reuters report said.

On Tuesday, Reserve Bank of Australia's policy board is set to decide whether the rates should be left at 1.75% or cut a quarter point. The analysts had predicted RRBA to trim interest rates by 25 basis points to keep inflation lower.

Australian shares were 0.1% lower.

MSCI's broadest index of Asia-Pacific shares was down 0.2% in early trading. While S&P500 hit an intraday record high, but later slipped as unable to hold the gains.

In early trade, Japan's Nikkei slid 0.8% in early trade as the dollar dragged against yen.

According to the report, Prime Minister Shinzo Abe's cabinet may approve $273 billion (28 trillion yen) stimulus package today.

US crude oil price edged up 0.3% to $40.18 a barrel, after shedding 3.7% on Monday. Since April, this was the first time US crude has tumbled below $40 barrel.

(With Reuters inputs)