19 November 2025, China, Shanghai: Boats sail past downtown Shanghai on the Huangpu River. The tallest building on the skyline is the Shanghai Tower (rear).

Asian defense stocks rallied for a second straight session Tuesday, even as the region traded mixed, with investors assessing geopolitical risks after the U.S. attack on Venezuela and capture of ousted leader Nicolas Maduro.

Japanese defense firm Kawasaki Heavy Industries rose almost 6%, while IHI added 3.66%. Shares of South Korea's Korea Aerospace jumped as much as 11% before paring gains to trade over 9% higher, while Poongsan jumped more than 8%. Hanwha Aerospace climbed 0.99%.

Japan's benchmark Nikkei 225 index rose 1.32% to end the trading day at 52,518.08, while the Topix advanced 1.75% to close at a new record high of 3,538.44. South Korea's Kospi was up 1.52% to 4,525.48, and the small-cap Kosdaq declined 0.16% to 955.97.

Australia's ASX/S&P 200 slid 0.52% to 8,682.8. Australian steelmaker BlueScope Steel surged more than 20% after it was confirmed that conglomerate SGH had submitted a non-binding indicative offer alongside American steel producer Steel Dynamics to acquire the company. The deal would value BlueScope at about $9 billion.

Hong Kong's Hang Seng Index added 1.22%, while the mainland CSI 300 rose 1.55% to 4,790.69.

Singapore's benchmark STI rose as much as 0.7% to a fresh record high. Singapore banks capped 2025 with another record year, as earnings came in stronger than expected and helped financial stocks rise more than 20% despite bouts of market volatility, said OCBC analysts on Tuesday. Looking ahead to 2026, bank profits are expected to hold steady even as lending margins ease, supported by strong wealth inflows and healthy returns on equity.

However, the bank cautioned that risks remain. Singapore's market is dominated by mature, value-heavy companies, which limits its exposure to the faster growth typically seen in technology stocks. A regional slowdown—particularly in China—would weigh on external demand, while a spike in oil prices, given the still-fluid situation in Venezuela, could push up operating costs