TOKYO, Feb 17 — Asian stocks outside Japan slipped with emerging-market currencies as a deal between Saudi Arabia and Russia to freeze oil production failed to assuage anxiety over this year’s crude selloff.

Energy producers drove Australia’s benchmark lower for the first time this week, as US oil remained below US$30 (RM126.19) a barrel after the world’s two biggest oil producers agreed to hold output at near-record levels, despite speculation they would reduce production.

Japanese stocks fluctuated following a two- day surge as the yen flirted with declines. 

The Malaysian ringgit slipped to its weakest level in two weeks amid losses for the South Korean won and Thai baht.

“The market was expecting a little more - cuts to production, for example, and it’s undeniable that investors aren’t fully satisfied with the pledge,” Chihiro Ohta, general manager of investment information at SMBC Nikko Securities Inc in Tokyo, said by phone. 

“The risk off mood has eased a little as of yesterday, but markets are still in a stormy climate and lack stability.”

Oil’s volatile journey in 2016 has fueled uncertainty in global markets, with investors concerned over the impact on inflation as economies from Asia to Europe already grapple with wobbly recoveries.

With the slowdown in China a key source of anxiety, policy makers there were said to have stepped up support for the economy by making more money available to local governments for infrastructure projects, after Premier Li Keqiang said the country still had lots of tools at its disposal. 

Minutes of the Federal Reserve’s last meeting, where officials indicated they were monitoring the turmoil in global markets, are due out today.

South Korea’s jobless rate rose to 3.5 per cent in January, data today showed, while Japanese machine orders fell more than expected in December from the previous year. 

Taiwan is set to update on fourth-quarter gross domestic product. — Bloomberg