US President Donald Trump steps into North Korea, in historic first

Agencies
June 30, 2019

Panmunjom, Jun 30: Donald Trump stepped onto North Korean soil Sunday as he met Pyongyang's leader Kim Jong Un in the Demilitarized Zone dividing the peninsula, in a symbolic diplomatic spectacle and a first for any American president.

After shaking hands with Kim over the line that marks where their two countries and their allies fought each other to a standstill in the 1950-53 Korean War, Trump walked for several steps into North Korean territory, before another handshake.

The two men then walked into Seoul's territory together -- pausing on the line for photographers -- where they were joined by South Korean President Moon Jae-in.

"It's a great day for the world and it's an honour for me to be here," Trump said. "A lot of great things are happening."

The impromptu meeting in the DMZ -- which came after Trump issued an invitation on Twitter on Saturday -- comes with negotiations between Pyongyang and Washington over the North's nuclear arsenal at a deadlock.

The two would "just shake hands quickly and say hello because we haven't seen each other since Vietnam", Trump said earlier.

Their first summit took place in a blaze of publicity in Singapore last year but produced a vaguely-worded pledge about denuclearisation, and a second meeting in Vietnam in February intended to put flesh on those bones broke up without agreement.

Contact between the two sides has since been minimal -- with Pyongyang issuing frequent criticisms of the US position -- but the two leaders have exchanged a series of letters and Trump turned to Twitter on Saturday to issue his offer.

"If Chairman Kim of North Korea sees this, I would meet him at the Border/DMZ just to shake his hand and say Hello(?)!," he wrote from from Osaka in Japan, where he was attending a G20 summit before flying to Seoul.

In an unusually fast and public response, within hours of Trump's tweet the North's official KCNA news agency quoted Vice Foreign Minister Choe Son Hui as saying the offer was "a very interesting suggestion".

Trump's entry onto North Korean soil is a dramatic re-enactment of the extraordinary scene last year when the young leader invited South Korean President Moon Jae-in to walk over the Military Demarcation Line that divides the Koreas.

Moon -- who seized on last year's Winter Olympics to broker the process between Pyongyang and Washington, after tensions soared in 2017 amid missile and nuclear tests and mutual insults -- will be going to the DMZ with Trump.

"The leaders of the US and the North will have a handshake for peace at Panmunjom, the symbol of division, for the first time," Moon said, referring to the "truce village" in the DMZ.

But analysts were divided over the headline-grabbing meeting's potential impact on the underlying issues.

The four-kilometre-wide (2.5 miles) DMZ, running for 250 kilometres, is where the front line lay when the Korean War ended with a ceasefire rather than a peace treaty, and is described as the world's last Cold War frontier.

John Delury of Yonsei University in Seoul said an encounter in the "barren no man's land that embodies the unhealed wound of post-WWII division, the Korean War, and 70 years of animosity" would help improve ties.

"It's not just about denuclearisation and it's not all about a deal -- important as those are," he said. "If Trump and Kim meet & can announce some kind of interim agreement, that's great. If they meet and don't, that's ok too. If in the end they don't meet, it's good that Trump offered to."

But Joshua Pollack of the Middlebury Institute of International Studies cast doubt on what it could achieve.

The Hanoi meeting foundered amid disagreements on what the North -- which has carried out six nuclear tests and developed missiles capable of reaching the entire US mainland -- would be willing to give up in exchange for relief from sanctions that have crippled its economy.

"An agenda-free, made-for-TV encounter won't undo a year of inflated expectations and disappointment," said Pollack.

What was needed, he added, was "something more than a one-page letter and another handshake".

The DMZ has been a regular stop for US presidents visiting the South, a security ally -- although Trump's helicopter was forced to turn back by fog in 2017 -- while Panmunjom saw the first two summits between Moon and Kim last year.

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News Network
March 23,2020

Singapore, Mar 23: Oil prices fell at the open in Asia on Monday after a trillion-dollar Senate proposal to help the coronavirus-hit American economy was defeated and death tolls soared across Europe and the US.

US benchmark West Texas Intermediate initially tumbled more than three percent but then pulled back some ground to trade 1.5 percent lower, at $22 a barrel.

Brent crude, the international benchmark, fell 4.9 percent to $25 a barrel.

Prices have fallen to multi-year lows in recent weeks as lockdowns and travel restrictions to fight the virus hit demand, and top producers Saudi Arabia and Russia engage in a price war.

The latest drop came after a trillion-dollar Senate proposal to rescue the US economy was defeated after receiving zero support from Democrats, and with five Republicans absent from the chamber because of virus-related quarantines.

The bill had proposed funding for American families, thousands of shuttered or suffering businesses and the nation's critically under-equipped hospitals.

Coronavirus deaths soared across Europe and the United States at the weekend despite heightened restrictions.

The death toll from the virus -- which has upended lives and closed businesses and schools across the planet -- surged to more than 14,300 Sunday, according to an AFP tally.

AxiCorp chief markets strategist Stephen Innes said that "total demand devastation" had set it.

"Oil markets collapsed out of the gate this morning as prices react... to stringent containment lockdown measures," he said.

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News Network
July 27,2020

Tokyo, Jul 27: Gold hit an all-time high on Monday as tit-for-tat consulate closures in China and the United States rattled investors, boosting the allure of safe-haven assets, although sentiment was mixed with tech gains supporting some Asian stocks.

MSCI's ex-Japan Asia-Pacific index rose 1.3 percent as Taiwan's TSMC, Asia's third-largest company by market capitalisation, rose almost 10 percent.

The chipmaker's gains boosted other tech stocks in the region and came after rival Intel signalled it may give up manufacturing its own components due to delays in new 7-nanometer chip technology.

Also soothing sentiment, Chinese shares eked out gains after big falls late last week, with CSI300 index rising 0.5 percent.

S&P500 futures were last up 0.4 percent in choppy trade while Japan's Nikkei fell 0.5 percent, resuming trade after a long weekend and catching up with falls in global shares late last week.

Global shares had lost steam last week after Washington ordered China's consulate in Houston to close, prompting Beijing to react in kind by closing the US consulate in Chengdu.

US Secretary of State Mike Pompeo took fresh aim at China last week, saying Washington and its allies must use "more creative and assertive ways" to press the Chinese Communist Party to change its ways.

"US President (Donald) Trump used to say China's President Xi Jinping is a great leader. But now Pompeo's wording is becoming so aggressive that markets are starting to worry about further escalation," said Norihiro Fujito, chief investment strategist at Mitsubishi Securities.

Gold rose 1.0 percent to a record high of $1,920.9 per ounce, surpassing a peak touched in September 2011, as Sino-US tensions boosted the allure of safe-haven assets, especially those not tied to any specific country.

The yellow metal is also helped by aggressive monetary easing adopted by many central banks around the world since the pandemic plunged the global economy into a recession.

Some investors fret such an unprecedented level of money-printing could eventually lead to inflation.

MORE STIMULUS

Hopes of a quick US economic recovery are fading as coronavirus infections showed few signs of slowing.

That means the economy could capitulate without fresh support from the government, with some of earlier steps such as enhanced jobless benefits due to expire this month.

Investors hope US Congress will agree on a deal before its summer recess but there are some sticking points including the size of the stimulus and enhanced unemployment benefits.

US Treasury Secretary Steve Mnuchin said the package will contain extended unemployment benefits with 70 percent "wage replacement".

Democrats, who control the House of Representatives, want enhanced benefits of $600 per week to be extended and look to much bigger stimulus compared with the Republicans' $1 trillion plan.

Investors are looking to corporate earnings from around the world for hints on the pace of recovery in the global economy.

"It looks like rising coronavirus cases are starting to slow down recovery in many countries," said Masahiro Ichikawa, senior strategist at Sumitomo Mitsui DS Asset Management.

Concerns about the US economic outlook started to weigh on the dollar, reversing its inverse correlation with the economic well-being over the past few months.

The dollar index dropped 0.3 percent to its lowest level in nearly two years.

The euro gained 0.3 percent to $1.1693, hitting a 22-month high of $1.16590 as sentiment on the common currency improved after European leaders reached a deal on a recovery fund in a major step towards more fiscal co-operation.

Against the yen, the dollar slipped 0.5 percent to 105.605 yen, a four-month low while the British pound hit a 4 1/2-month high of $1.2832.

Oil prices dipped on worries about the worsening Sino-US relations.

Brent futures fell 0.46 percent to $43.14 per barrel while US crude futures lost 0.44 percent to $41.11.

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Agencies
July 22,2020

Houston, Jul 22: China said on Wednesday that the US has ordered it to close its consulate in Houston in what an official called an outrageous and unjustified move that will sabotage China-US relations.

Foreign ministry spokesperson Wang Wenbin condemned the action, which comes as tensions rise between the world's two largest economies. He warned of firm countermeasures if the US does not reverse its decision.

The unilateral closure of China's consulate general in Houston within a short period of time is an unprecedented escalation of its recent actions against China, Wang said at a daily news briefing.

There was no immediate confirmation or explanation from the U.S. side.

Media reports in Houston said that authorities had responded to reports of a fire at the consulate. Witnesses said that people were burning paper in what appeared to be trash cans, the Houston Chronicle reported, citing police.

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