Asian stock markets fell sharply on Tuesday as fears of a wider conflict in the Middle East rattled investor confidence, wiping out gains built earlier this year.

HSBC Holdings lifted a key earnings target after its annual profit beat expectations, signaling confidence in further growth following a major bank overhaul.

Chinese artificial intelligence-focused stocks are expected to remain key drivers of Hong Kong and mainland markets in 2026, although last year’s rapid pace of growth is set to cool, according to investment banks.

Hong Kong's stock market ended higher Tuesday with the benchmark Hang Seng Index up 0.36 percent to close 17,174.06 pointsç News.az reports.