How major United States stock market indexes fared Wednesday

An exhibit at the Korean War Memorial Museum in Seoul

"Although it is considered highly unlikely that this tension will escalate into a nuclear war, the market still needs to see how President Trump will eventually deal with his advocating "fire and fury" against North Korea's threat", said Margaret Yang Yan, market analyst at CMC Markets Singapore.

South Korea will act against the North if it continues its provocations, the Korean Joint Chiefs of Staff spokesman warned Thursday, after Pyongyang said it was considering hitting waters near a U.S. island, APA reports quoting sputniknews. They would fly over southwestern Japan and land as close as 30 kilometers (19 miles) from Guam, the Korean Central News Agency reported on Thursday.

Pyongyang responded with threats to launch preemptive military strikes against the US, including targeting the Pacific island territory of Guam. If carried out, it would be the North's most provocative missile launch to date.

The US dollar slipped to an eight-week low against the Japanese yen today as continuing tensions between the United States and North Korea led investors to look for assets viewed as less risky.

Guam is also protected by the THAAD missile defense system. -North Korea tension also weighed on the Canadian dollar, which weakened against its US counterpart, despite higher oil prices and stronger-than-expected domestic housing data.

It is unclear whether - or exactly why - North Korea would risk firing missiles so close to US territory.

More news: 2016 was Earth's warmest year on record, global report shows

Secretary of State Rex Tillerson assured the public Wednesday morning that there was "no imminent threat" and that Americans "should sleep well at night". Trump's remarks were provoked by Pyongyang's threats of "physical" retaliation for new sanctions imposed by the United Nations and vocally supported by the US and South Korea.

More recently, North Korean missiles have landed in the Sea of Japan, with some falling in Japan's exclusive economic zone that stretches 200km from its shores. U.S. job vacancies increased by 6.163 million in June instead of 5.775 million expected, exceeding the previous mark of 5.702 million and recording a multi-year high.

Semiconductor, computer hardware, oil service, and retail stocks also saw considerable weakness, moving lower along with most of the other major sectors. "The global economy is really on some firm footing", he said.

"Tensions are still high and not going away at the moment".

Two U.S. Air Force B-1B Lancer bombers under the command of Pacific Air Forces joined their counterparts from the South Korean and Japanese air forces August 7 in sequenced bilateral missions.

Japan has a two-layered ballistic missile defence system, consisting of ship-based SM-3 missiles, and land-based Patriot interceptors. Later, speaking to reporters, President Donald Trump demanded that North Korea "get their act together" or face extraordinary trouble.

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