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Asia Markets: Asian markets rattled by latest North Korean nuclear threat

Equity markets across the Asia-Pacific region were down on Friday, with stocks in Japan reversing early gains following fresh threats from North Korea, while China-related stocks declined on a credit-rating downgrade.

North Korean Foreign Minister Ri Yong Ho said late Thursday in New York that the country may consider a nuclear test of “unprecedented scale” in the Pacific Ocean, according to South Korea’s Yonhap News Agency.

Those comments came shortly after North Korean leader Kim Jong Un said he was considering the “highest level of hard-line countermeasure” in response to President Donald Trump’s warning that the U.S. would annihilate North Korea if forced to defend itself or its allies.

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