South Korea: Regrettable that Japan's trade curbs have taken effect

Responding to Japan’s removal of South Korea from the preferred trade status taking effect today, the South Korean Deputy National Security Adviser Kim Hyun-chong said Japan’s decision is deeply regrettable.

Key Quotes:

South Korea may reverse a decision to scrap an intelligence-sharing pact with Japan if Tokyo corrected what he called “unjust measures”.

I want to stress the ball is in Japan’s court. 

Amid US-China trade uncertainty and US yield curve inversion, markets seem to overlook the Japan- South Korea trade spat. Therefore, the above comments appear to have no impact on the market sentiment, with USD/JPY still wavering below the 106 handle, supported by higher Wall Street futures.