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Gold and sovereign debt are set to build on solid overnight gains while Asian stocks are likely to slip on Wednesday as investors reduce risk before several major political and economic events later this week.
With U.K. elections, an European Central Bank policy meeting where policymakers may take a less dovish stance, and former FBI director James Comey's Senate testimony on all set for Thursday, market participants will be wary of taking big positions.
MSCI's broadest index of Asia-Pacific shares outside Japan edged 0.2 percent lower, retreating further from a two-year high hit on Monday. Early Asian markets such as Australia and Japan are pointed lower.
British Prime Minister Theresa May looks on course to increase her parliamentary majority in Thursday's election, an opinion poll showed on Tuesday, shortly after another survey suggested the race with the opposition Labour Party was neck and neck.
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