Many Asia Pacific stock markets bounced back strongly on Tuesday, tracking overnight gains on Wall Street on fresh optimism that the US Federal Reserve will cut interest rates on Wednesday, though gains trailed off as trading drew to a close.

Gold and platinum hit fresh highs as production in South Africa looked like it will continue to be disrupted by labour troubles and power shortages. Gold for immediate delivery hit $929.84 an ounce and the key platinum futures contract in Tokyo rose by its daily limit of Y120 to Y5,555 a gram. But both metals fell back during the afternoon session. Australian stocks sagged as many of the country’s biggest miners have large operations in South Africa.