(Reuters) - Asian shares, the euro and the Australian dollar inched up Tuesday after an unexpected expansion in U.S. factory activity buoyed sentiment, although risk assets remained capped by prospects of continued sluggish global growth.

Markets in China, Hong Kong and India are closed for holidays on Tuesday.

The MSCI index of Asia-Pacific shares outside Japan was 0.1 percent higher, with Australian shares up 0.3 percent and South Korean shares up 0.1 percent. Japan's Nikkei stock average opened up 0.3 percent after hitting a three-week low on Monday. 

Wall Street stocks ended higher after closing out their best third quarter since 2010, as data showed U.S. manufacturing surprisingly grew last month for the first time since May. That helped the dollar weaken and commodities to rise while eroding safe-haven demand weighed on the yen. The euro rebounded off three-week lows.

The euro was a few pips higher at $1.2895, off a three-week low of $1.28035 touched on Monday, but was vulnerable as investors waited for Spain to seek a sovereign bailout and remained wary of a possible Moody's credit rating cut of Spain to junk status.

The Australian dollar edged higher to $1.0366 ahead of the Reserve Bank of Australia's policy decision due at 0430 GMT. Markets have priced in a 62 percent chance of a quarter-point cut in the 3.5 percent cash rate.


Spot gold rose 0.2 percent to $1,776.49 an ounce, after marking a high of $1,791.20 on Monday, its strongest level since mid-November on both fund buying and possible central bank demand.

U.S. crude inched down 0.1 percent to $92.37 a barrel and Brent was little changed at $112.22.