SYDNEY - Asian ​shares retreated from record highs on Thursday as investors took some money off the table from a technology-driven ‌rally, while oil prices rose for a fourth straight day as a ceasefire in the Middle East hung in the balance.

Overnight, the S&P 500 climbed 1 percent and the Nasdaq jumped 1.6 percent to notch fresh record-closing highs, helped by a strong start to the earnings season that has eased concerns about the ​health of the US consumer despite rising energy prices from the Iran conflict.

MSCI's broadest index of Asia-Pacific shares outside Japan ​had earlier tracked Wall Street and rallied to a record of 831.56 points, but selling soon kicked ⁠in. It was last down 0.7 percent.

Japan's Nikkei vaulted to a new high for a second day before falling over 1 percent. The market in ​South Korea also hit new highs and then turned lower.

Higher oil prices were partly to blame, with Brent crude futures up another 1.3 percent on Thursday to $103.18 a barrel, having jumped 3.5 percent overnight to cross back above $100.

Nick Twidale, chief market strategist at ATFX Global, said the increased tension ​in the Middle East is starting to spook investors as further ship seizures erode hopes of more peace talks.

"We saw the spike to record highs ‌on the ⁠back of Wall Street's overnight performance, but then the pullback as a bit of a reality check on what is happening in the Middle East."

Wall Street futures fell in Asia after the earnings-driven rally, with Nasdaq futures off 0.5 percent and S&P 500 futures down 0.7 percent. European stock futures are bracing for a much weaker open, with pan-region futures down 1.1 percent.

Shares of GE Vernova surged 13.75 percent after the power equipment ​maker raised its annual revenue forecast ​on the AI boom, and ⁠Boeing advanced over 5 percent after a smaller-than-expected quarterly loss.

Electric automaker Tesla reported a surprise positive free cash flow in the first quarter, but its projection of sharply higher spending plans on AI and robotics drew ​scepticism from investors, with its shares down 2 percent after the bell.

Treasury yields edged up. The two-year ​US Treasury yield rose ⁠2 basis points to 3.8106 percent, after inching up 1 bp on Wednesday. The 10-year yield increased 2 bps to 4.3174 percent, after finishing little changed overnight.

Currencies were mostly calm, with the dollar holding onto small gains from overnight. The euro was steady at $1.17, just above a 10-day low ⁠of $1.1691, having ​lost 0.3 percent overnight.

"Markets have been remarkably effective at looking through risks – and may ​continue to be. But the list of risks is growing as resolutions remain elusive," said Laura Cooper, global investment strategist at asset manager Nuveen.

"The dissonance cannot hold indefinitely ... ​At some point, the weight of what is being ignored could become the only one that matters."