U.S. markets were trading lower on Tuesday in a volatile session. The DOW JONES lost -0.65% shedding early gains closing at 17,068.87 points, the S&P 500 declined -0.85% as technology shares slumped, with a final quote of 1,972.74 points. Indices were weighed down by weak U.S. economic data as the U.S. preliminary manufacturing purchasing managers' index (PMI) fell to 53.7 in December from 55.8 in November, missing expectations for a rise to 56.1. That was the lowest level since January 2014. Soft U.S. housing data added to the concerns. Markets now await data on consumer inflation, the current account and the FED's interest rate decision.

Chinese stocks added gains while trading in Hong Kong was negative. Hong Kong's Hang Seng is trading -0.22% at 22,620.70. China's Shanghai Composite closed at 3,060.26 points, a gain of +1.28%.

Japan's Nikkei added +0.38% closing at 16,819.73 moving away from a 6-1/2 week low. Japanese exports rose less than analysts predicted in November whereas imports unexpectedly decreased.