Asian stocks oscillated after speculations the mining sector will benefit from a hung parliament in Australia towered above concerns over the strength of the global economic recovery.

Mining giants BHP Billiton and Rio Tinto Group rose at least 1 per cent in Sydney today on hopes a Labor government-proposed mining tax may be abandoned as the investment community await the outcome of the national election. Canon Inc and Honda Motor Co, which both obtain more than 80 per cent of their sales outside Japan, declined more than 1 per cent before the release of a report today that may show US home sales plunged in July.

AMP Capital Investors strategist Nader Naeimi said the global backdrop will ultimately be the largest driver of markets.

"You're getting a sigh of relief on the Australian miners because of hopes the mining tax will be stalled," he said from Sydney.

Shares that ascended almost equalled those that declined in the MSCI Asia Pacific Index, which advanced 0.1 per cent to 118.43 in Tokyo. A measure of material stocks added 0.5 per cent, the biggest gain among ten industry groups. Consumer- related stocks lost 0.4 per cent.