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Trump Orders Pentagon to Curtail South Korea Military Drills, Reshaping Asian Geopolitical Risk

President frames joint exercises as sending a 'hostile' signal to Pyongyang, a policy pivot with implications for defence spending assumptions and regional risk premia.

President Trump has asked the Pentagon to scale back joint military exercises with South Korea, characterising them as provocative toward North Korea. The move injects fresh uncertainty into North Asian security arrangements and the alliance-linked defence procurement outlook.

SPECIAL REPORT

Asia Splits as RBA Decision Looms; Korea Advances, China Retreats

Regional equity benchmarks diverged ahead of the Reserve Bank of Australia's policy verdict, with Korean strength offset by mainland Chinese weakness even as Alibaba bucked the trend.

Asian trading delivered no clean directional signal, with Korea's tech-heavy complex firming while Chinese equities slipped. The RBA decision is the session's principal macro catalyst.

MARKET REPORT
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