* Ex-Japan Asian shares up 0.25%, Nikkei up 0.35%
* U.S. ISM indicators show strong manufacturing expansion
* Mnuchin says will talk to Pelosi on stimulus
* Fed reiterates dovish message
* Asian stock markets: https://tmsnrt.rs/2zpUAr4
By Hideyuki Sano and Alwyn Scott
TOKYO/NEW YORK, Sept 2 (Reuters) - Asian shares inched up on Wednesday following buoyant U.S. manufacturing indicators and a rally in U.S. tech shares, with investors also expecting more policy support from Washington.
MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS gained 0.25% while Japan's Nikkei .N225 advanced 0.35%.
Mainland Chinese shares slipped a tad, with bellwether CSI300 index .CSI300 giving up 0.3% on investor caution after having hit a five-year high earlier this week.
On Wall Street, both the S&P 500 .SPX and Nasdaq .IXIC boasted record closing highs, with gains of 0.75% and 1.39% respectively, with the technology sector leading the charge.
Apple AAPL.O , the world's biggest company by market capitalisation, rose just under 4% to take its value to almost $2.3 trillion after a media report that the company had asked suppliers to make at least 75 million 5G iPhones for later this year. manufacturing indicators showed expansion, with the reading from the Institute for Supply Management hitting its highest level in nearly two years. zone manufacturing activity also grew last month to stay on a path toward recovery, though factory managers remained wary about investing and hiring more workers. the moment the market is seeing a lot of positive momentum," said Greg Boutle, U.S. head of equity and derivative strategy at BNP Paribas (PA:BNPP) in New York. "If you get OK-to-good data and anything from the political landscape that looks like its moving more toward a compromise that's constructive for markets."
U.S. Treasury Secretary Steven Mnuchin said on Tuesday he would telephone House Speaker Nancy Pelosi about stalled coronavirus aid negotiations later in the day. House chief of staff Mark Meadows said Senate Republicans are likely to bring up a targeted COVID-19 relief bill next week. U.S. Federal Reserve dabbed in more support for the economy as Governor Lael Brainard said the central bank would need to provide more stimulus to fulfil its promise of stronger job growth and higher inflation. are entering the second stage of central bank-financed government stimulus," said Hiroshi Watanabe, senior economist at Sony Financial Holdings.
"This means U.S. nominal bond interest rates will be kept low and real interest rates will decline. The dollar will continue to fall while boosting various asset prices from gold to stocks."
Brainard's comments helped to push down the 10-year U.S. Treasuries yield US10YT=RR to 0.680% from above 0.7%. Last week it rose to as high as 0.789%, the highest in 2 1/2 months.
The yield on inflation-protected U.S. Treasuries 10YTIP=RR , or real U.S. yields, remained depressed at minus 1.092%, near a record low of minus 1.111% hit last month.
In the currency market, the strong manufacturing data helped the U.S. dollar claw back losses a tad after hitting a 28-month low against a basket of currencies on Tuesday.
The dollar index =USD stood at 92.386, off Tuesday's low of 91.737.
The euro changed hands at $1.1905 EUR= , flat on the day after touching above $1.20 for the first time since 2018 during Tuesday's trading.
The dollar was firm on the yen at 106.03 yen JPY= .
The Australian dollar lost 0.5% to $0.7348 AUD=D4 , after GDP data showed the Australian economy suffered a deeper-than-expected 7% contraction in the last quarter, its worst economic downturn on record. crude LCOc1 futures rose 0.8% to $45.95 a barrel. U.S. West Texas Intermediate futures CLc1 gained 0.8% to $43.10 a barrel. (Editing by Simon Cameron-Moore)