The Philippine stock market fell more than 1% on Wednesday as weak export data raised concerns about the country's fragile economic recovery, while broader emerging Asian shares extended losses after a sharp drop a day earlier.

The region's currencies traded flat to slightly higher as investors eyed Federal Reserve Chair Jerome Powell's comments after the conclusion of a two-day policy meeting where analysts expect the Fed to retain its ultra-easy monetary policy stance.

The South Korean won edged 0.2% higher, while the Indian rupee and ringgit firmed 0.1% each.

Many emerging markets in Asia fell sharply on Tuesday as investors tempered hopes for the quick passage of more US stimulus, which had boosted sentiment in recent weeks.

Philippine stocks fell 1.6% as underwhelming trade data weighed on sentiment one day before gross domestic product figures are released. Philippine exports dipped 0.2% in December and imports fell sharply, resulting in the widest monthly trade deficit since March.

"It is the clearest sign yet that the renewed COVID-19 restrictions and surging case numbers is having an immediate impact on already fragile domestic consumption," said Jeffrey Halley, a senior Asia-Pacific analyst with Oanda.

Nicholas Mapa, a senior ING economist for the Philippines expects the slow global recovery to limit exports into 2021, with imports remaining soft due to weak local demand.

Indian shares also slid more than 1% as Amazon sought to block the sale of Future Group's $3.4 billion retail assets to Mukesh Ambani's Reliance Industries. Markets were closed on Tuesday for a public holiday.

In a grim milestone, Indonesia surpassed a million confirmed coronavirus cases on Tuesday, while health experts believe the true spread of the virus in the country could be three times higher.

Shares in Jakarta fell 0.6% and have so far lost more than 3% this week.