Reports of a possible halt in US-North Korea talks send defense stocks soaring

Defense-related stocks listed in and surged by more than 20 percent on Friday following reports that

At the same time, shares of South Korean firms with exposure to plunged.

North Korean Vice Foreign Minister Choe Son Hui said at a news conference that her country has “no intention to yield” to demands made by the U.S. She added that North Korean leader could rethink a moratorium on missile launches and that he will make an official announcement soon on his position regarding talks with the U.S.

Kim met U.S. President last month in the capital of Hanoi. The two-day summit after both side and lifting economic sanctions on Pyongyang.

After Choe‘s comments were reported on Friday, shares of several Asia-listed defense companies jumped.

In South Korea, shares of Victek and Hanil Forging Industrial had risen 24.07 percent and 20.62 percent, respectively, by Friday‘s close. Over in Japan, ended the session 25.64 percent higher.

Meanwhile, South Korean stocks exposed to North Korea plunged after the news: ended Friday 8.77 percent lower, and declined by 6.9 percent.

In broader markets, South Korea‘s closed 0.95 percent higher and Japan‘s rose 0.77 percent. In the currencies space, the weakened against the by around 0.1 percent, while the — typically seen as a safe haven — traded flat against the greenback.

— Reuters contributed to this report.