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Under pressure from President Trump, Prime Minister Benjamin Netanyahu of Israel held off from attacking Beirut. But he vowed to continue Israel's campaign against Hezbollah, which could threaten peace talks with Iran.
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An Israeli campaign that started with high hopes has devolved into a kind of impasse, with Hezbollah looking more capable than it did when the war began.
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More than a dozen people were killed and hundreds more inured after an overnight barrage of Russian missiles and drones targeted the Ukrainian capital. Russia had previously warned that it intended "systematic strikes" on targets in Kyiv linked to Ukraine's military, urging foreigners to leave.
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Asia-Pacific markets traded mixed on Tuesday as investors weighed renewed uncertainty over U.S.-Iran peace negotiations.
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Moscow's repeated warnings of a major strike, combined with the delay before it happened, seemed intended to inflict a psychological toll on the Ukrainian capital.
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The fund has drawn backlash from critics who said it was a scheme to reward President Trump's political allies with public benefits.
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Israel's PM Netanyahu warns that strikes on Beirut will go ahead if Hezbollah does not abide by the US proposal.
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The latest attacks further undermine what remains of a U.S.-Iran ceasefire, and will likely add strain to ongoing efforts to reach a deal that will end the war.
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