Asia-Pacific markets opened mixed as investors kept an eye on the talks between the U.S. and China in Spain, and awaited a slate of data from Beijing.

U.S. and Chinese officials began talks in Madrid Sunday to discuss key national security, economic, and trade issues, including the upcoming deadline to divest Chinese short video app TikTok and U.S. tariffs.

Delegations led by U.S. Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer met with their counterparts, Chinese Vice Premier He Lifeng and China's top trade negotiator, Li Chenggang.

Meanwhile, China is expected to release data on retail sales, fixed asset investment and urban unemployment rate later in the day.

Australia's ASX/S&P 200 fell 0.75% at the open.

South Korea's Kospi index rose 0.67% to a record high of 3,420.23, marking its 10th straight session of gains. The small-cap Kosdaq increased 0.4%.

Hong Kong's Hang Seng Index was set to open slightly lower, with the futures contract at 26,380, against the index's last close of 26,388.16.

Japanese and Malaysian markets were closed for a holiday.

U.S. equity futures were little changed in early Asian hours as investors brace for a Federal Reserve meeting this week, in hopes that the central bank will cut interest rates when it concludes its meeting Wednesday stateside.

On Friday stateside, the Nasdaq Composite closed at a fresh record high, securing its second winning week in a row with its 2% advance in the period. The S&P 500 gained 1.6% week to date, posting its best weekly performance since early August. The Dow posted its first positive week in three after seeing a week-to-date climb of 1%.

The strong gains come after the latest economic data showing a weakening labor market and tame inflation spurred Fed rate-cut hopes.

Source: CNBC