Asian equities were mostly lower as investors reassessed expectations for higher U.S. interest rates, outweighing support from easing Middle East tensions. Japan's Nikkei fell 1.61%, pulling back from record highs as investors took profits following a strong rally in semiconductor and artificial intelligence-related stocks. China's Shanghai Composite fell 0.37%, retreating from a one-month high, while Hong Kong's Hang Seng tumbled 1.13%, extending losses on global rate concerns. India's Sensex rose 0.05%, and Australia's ASX 200 traded marginally lower, down 0.07%. All three U.S. equity index futures were lower, with the Nasdaq leading declines at 1.06%, while crude oil stabilized near $74 per barrel and gold fell below $4,150 an ounce.