Markets will continue to focus on geopolitical tensions - UOB

Analysts at UOB Group explained that financial markets will continue to focus on geopolitical tensions on the Korean Peninsula.

Key Quotes:

"A North Korean diplomat threatened that the country was prepared to deliver “gift packages” to the US if the latter continues to put pressure on Pyongyang."

"South Korea has said further missile tests could be expected from North Korea following its last nuclear test on Sunday."

'Meanwhile, US President Donald Trump contributed to the elevated geopolitical tensions when he tweeted on Tuesday that he would be letting Japan and South Korea purchase a “substantially increased amount” of military equipment from the US. Russian President Vladimir Putin cautioned over increasing “military hysteria” in reaction to developments in the region."