Asian Markets Rise, Defense Stocks Lead After U.S. Captures Venezuela’s Maduro

Asian equity markets opened the first full trading week of 2026 on a stronger footing after the United States said it had carried out military operations in Venezuela and captured former leader Nicolás Maduro.

Investors reacted cautiously to the geopolitical developments, with gains led by defense-related stocks across parts of Asia, while oil prices edged lower, suggesting limited immediate concern over global supply disruptions.

U.S. authorities said Maduro and his wife were flown to New York following the operation and charged with offences including narco-terrorism conspiracy. Venezuela is a founding member of OPEC and holds the world’s largest proven crude oil reserves, according to U.S. energy data.

Despite tensions involving the oil-producing nation, crude prices declined. Brent crude was last trading slightly lower, while U.S. West Texas Intermediate also eased, as markets assessed the likelihood of any near-term impact on supply.

In Japan, the Nikkei 225 surged nearly 3 per cent in its first trading session of the year, while the broader Topix index reached a record high. Defense stocks led gains, with Kawasaki Heavy Industries and Mitsubishi Heavy Industries posting strong advances.

South Korean markets also rallied, with the Kospi climbing to a record level. Shares of Hanwha Aerospace and Poongsan rose on expectations of increased defence spending amid heightened geopolitical risk.

Elsewhere in the region, Australia’s benchmark index recorded modest gains. Hong Kong equities were largely flat, while mainland China stocks moved higher.

Gold prices advanced as some investors sought safe-haven assets, even as broader risk sentiment improved across equity markets.

U.S. equity futures were steady during Asian trading hours. On Wall Street, major U.S. indices ended the first trading session of the year mixed, with gains in selected sectors offsetting broader profit-taking.