<div id="readability-page-1"><div><figure></figure>Asian markets started Tuesday on a constructive note, as stocks in the region rebounded after reports that Iran may attend peace talks with the United States in Pakistan.The development eased some of the immediate geopolitical tension that had been weighing on sentiment.MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.9%, South Korea’s Kospi climbed 2.1% to a record high, and Japan’s Nikkei 225 added 1.2%.Australian shares lagged, slipping 0.3%, while Brent crude eased to $95.09 a barrel and S&amp;P 500 e-mini futures were up 0.1%.Risk appetite returns, but only in pocketsThe tone across Asia was upbeat, yet the move had boundaries.Korea led the region, helped by renewed enthusiasm for artificial intelligence, which was feeding demand for growth-sensitive stocks.Japan also benefited from the softer risk backdrop, while Australia failed to keep pace and finished lower in early trade.That split-screen performance suggests investors were willing to add risk, but only where the catalyst was strongest.The market looked tactical, with traders buying into momentum in tech-linked names while staying cautious elsewhere.Geopolitics is still driving the tapeEven with the open in positive territory, the Middle East remains the main macro factor.The uneasy ceasefire between the United States and Iran frayed after Washington announced the seizure of an Iranian cargo ship, prompting retaliation vows from Tehran.Iran had earlier stated that it would skip a second round of negotiations, although a senior official later told Reuters that the country may still send delegates to talks expected in Islamabad.The market response has been notable as renewed tension pushed oil higher overnight, but the prospect of diplomacy was enough to steady equities at the open.For now, traders are treating the situation as fragile rather than resolved.Calm, not complacentThe Asia session also took cues from Wall Street, where the S&amp;P 500 fell 0.2% overnight, and the Nasdaq snapped a 13-day winning streak.That left regional investors watching whether the US selloff would deepen or simply reset appetite after a strong run.At the same time, markets are bracing for a Senate confirmation hearing for Kevin Warsh, President Donald Trump’s nominee to lead the Federal Reserve.His independence from the White House is expected to be a key theme, while economists are also focused on his views on the Fed’s balance sheet and quantitative easing.For now, the broader global backdrop is calm but not complacent.The US dollar index remained steady at 98.08, the 10-year Treasury yield edged up 0.8 basis points to 4.256%, and gold was little changed.Cryptocurrencies stayed range-bound, with Bitcoin down 0.3%. That mix points to a market that is active, but not panicked.</div></div>

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Asian markets opened positively as stocks rebounded following reports of potential peace talks between Iran and the U.S. in Pakistan, easing geopolitical tensions. The MSCI Asia-Pacific index rose 0.9%, with South Korea's Kospi reaching a record high of 2.1%. Japan's Nikkei 225 increased by 1.2%, while Australian shares fell 0.3%. Despite the upbeat tone, market performance varied, driven by renewed interest in AI and cautious trading in other sectors. Geopolitical factors remain influential, with traders remaining vigilant amid ongoing tensions in the Middle East.

Kospi hits record high as Asian markets surge on easing Iran tensions