EMERGING MARKETS-Asian markets struggle for direction as tame US inflation tempers Fed rate fears

Asian equities found more support, with MSCI's broadest index of Asia-Pacific shares outside Japan <.MISX00000PUS> rising 1% to a nearly one-month high.

Indonesian stocks .JKSE dropped 1.2%, while investors assessed MSCI's decision to remove ride-hailing firm GoTo Gojek Tokopedia GOTO.JK from its Indonesia index at the end of August.

The removal has added to near-term market caution, said Andrey Wijaya, head of research at RHB Indonesia, although he doesn't think it reflects a "broader weakening in the fundamentals of Indonesia's equity market."

"The immediate impact is likely to be largely company-specific, particularly for GoTo."

The stock did not react to the news, last seen at 50 rupiah a share - the minimum trading price on the exchange's main trading board.