Regional

• The National Science Foundation (NSF) has launched a new initiative to establish State and Regional AI Infrastructure Hubs to accelerate AI-enabled scientific discovery. • The program expands access to critical computing resources for researchers, students, and educators through strategic partnerships between state and local governments. • Private-sector and philanthropic leaders, including NVIDIA, AMD, Intel, Dell Technologies, Hangar, and the Secunda Innovation Fund, intend to provide support for the hubs.

• Asian stock markets traded mostly higher on Tuesday, with gains in Australia and South Korea offsetting losses in Hong Kong. • The recovery was driven by a cautious return to technology shares following a significant AI-driven selloff the previous week. • Investor sentiment was bolstered by a Wall Street rally and strong earnings reports from AI-focused companies including Microsoft, Alphabet, and Palantir.

• WEPSEA 2026 will be held in Shanghai to showcase innovations in the packaging value chain, including digital printing, corrugated packaging, and food packaging technologies. • The event will feature over 20 conferences, workshops, and networking activities designed to provide technical insights and market intelligence for industry professionals. • The exhibition addresses the rapid transformation of Southeast Asia's manufacturing and consumer markets, focusing on digitalization, sustainability, and supply chain diversification.

• Asian stock markets tumbled, with the KOSPI extending losses and the Shanghai Shenzhen CSI 300 and Shanghai Composite falling 0.6% and 0.5% respectively. • AI-related shares dragged down regional markets, though Hong Kong's Hang Seng rose 0.1% as Alibaba surged over 5% following the launch of a new flagship AI model. • Energy producers faced pressure from falling crude prices after President Donald Trump announced that negotiations regarding the Strait of Hormuz would begin on Monday.

• President Donald Trump has warned that the United States will hit Iran "very hard" in response to ongoing regional tensions. • Reports indicate that Washington is currently weighing fresh military strikes, which could specifically target Iranian energy infrastructure. • These potential operations are reportedly being considered for execution as early as this coming weekend.

• UN Security Council members met on Tuesday to receive updates on the escalating regional tensions involving the US, Iran, Israel, and Hamas. • Reports from the UN relief agency OCHA highlight a dangerous situation in the Occupied Palestinian Territory, citing Israeli settlement expansion, settler violence, and movement restrictions. • The situation is critical as increasing Israeli attacks threaten the fragile October ceasefire that ended two years of conflict with Hamas in Gaza.

• Military hostilities have renewed in the Gulf region, with escalating strikes overshadowing diplomatic efforts to resolve the conflict. • Both opposing sides are continuing a cycle of retaliation, with neither party showing a willingness to reduce tensions or lower the temperature. • This escalation is critical because it brings the region closer to an all-out war that could threaten both regional and global security.