Alcoa's demand outlook for 2010 and its projected inclination towards Chinese and Australian markets triggered the rise in Asian shares on Tuesday.

Japan's Nikkei Stock Average climbed up to 0.8%, Australia's S&P/ASX 200 was up by 0.1%, South Korea's Kospi Composite increased by 0.2% and New Zealand's NZX-50 was off 0.2%. Dow Jones Industrial Average futures were up 27 points in screen trade.

In Tokyo, the share price of Nippon Light Metal rose by 1.7% and that of Toho Titanium by 1.0%.

Mitsui O. S. K. Lines was up 2.2%. Nippon Yusen increased by 2.7%.

Alumina, which has a joint venture with Alcoa in Alcoa World Alumina and Chemicals, rose by 2.0% on account of the demand forecasts projected by Alcoa.

Major Banks were up 0.6% to 1.7%, while BHP Billiton was down 1.5% and Rio Tinto shed 1.9% on the weakness in Wall Street's materials sector on Monday.

After reporting a drop in second-quarter production, Energy Resources climbed down by 1.9%. Woodside Petroleum rose 1.5% while Santos shed 0.5% after Southern Cross Equities recommended a switch to Woodside.

Korean Air Lines went up 0.5% and Asian Airlines rose 1.5% on the expectations of growing demand for travel during the summer holiday season.

Financials were also higher, with KB Financial Group up 1.2% and Hana Financial Group advancing 2.8%.

Lee Seung-woo at Daewoo Securities sated that the overseas stock markets seem to be stabilizing; institutional investors and foreigners have been buying domestic stocks in recent days.

The euro was at $1.2603 against the U. S. dollar, from $1.2593, and at 111.89 yen against the yen, from 111.55 yen. The dollar was at 88.76 yen from 88.59 yen.