Asian stock markets fell on Wednesday as investors sought more clarity over a potential Russian missile strike on Poland, although expectations that the Federal Reserve will raise interest rates at a slower pace helped temper losses.

Oil prices slid on Wednesday as COVID-19 cases in China continued to climb, sparking worries of lower fuel demand in the world's top crude importer that outweighed concerns about an escalation of geopolitical tensions and tighter oil supply.

Asian share markets were mixed on Tuesday and oil was weaker as investors sought to digest the economic implications of China's COVID policy adjustments and a rescue package for the country's struggling property sector.

Oil prices fell in choppy trade on Tuesday and nursed steep losses this week as weak economic data from China brewed more concerns over worsening demand, although the prospect of smaller U.S. rate hikes and tightening supply helped limit losses. 

Euro zone wage growth may finally be picking up but longer-term inflation expectations are still anchored around the European Central Bank's 2% target, ECB Vice President Luis de Guindos said on Monday.

The U.S. dollar climbed versus the yen and stayed firm against other major peers on Tuesday as more Federal Reserve officials made the case for even tighter U.S. monetary policy.