'Tariff Illegal' ruling sends U.S. stocks down… North, China, Russia leaders reunite for first time in 66 years [Morning Briefing]

◆ New York stock market falls amid tariff and interest rate uncertainty

Amid uncertainty over U.S. tariff policy and growing concerns about bond yields, the three major New York stock indices closed lower today. At the New York Stock Exchange, the Dow Jones Industrial Average and the Standard & Poor's (S&P) 500 index fell 0.55% and 0.69%, respectively, from the previous trading day. The Nasdaq Composite also dropped 0.82%. An appellate court ruling that the reciprocal tariffs imposed by President Donald Trump are illegal increased tariff-related uncertainty, worsening sentiment in the bond and equity markets. In particular, if a court decision that the reciprocal tariffs are illegal is confirmed by the U.S. Supreme Court, it could amplify bond market concerns because it may lead to reduced tariff revenue and an expansion of the fiscal deficit.

◆ Military parade in China today before leaders of North Korea, China, and Russia

A military parade commemorating the 80th anniversary of China's victory in World War II will be held this morning in Beijing with leaders from North Korea, China, and Russia in attendance. It is expected that North Korean State Affairs Commission Chairman Kim Jong-un and Russian President Vladimir Putin will stand beside Chinese President Xi Jinping to watch the Chinese military. It is the first time in 66 years that the leaders of North Korea, China, and Russia (including the former Soviet Union) have gathered in one place since the North‑China‑Soviet summit held in Beijing in September 1959. From South Korea, Woo Won-sik, second in protocol as Speaker of the National Assembly, is attending. Whether Speaker Woo and Chairman Kim will meet is also drawing attention. It was also confirmed for the first time that Kim Jong-un's daughter Kim Ju-ae accompanied him on this visit to China.

◆ Arrest warrants for IMS and asset manager heads in Kim Keon-hee 'housekeeper gate' allegations denied

The special prosecutor team led by Min Jung-gi investigating allegations related to First Lady Kim Keon-hee had its arrest warrants denied for Jo Young-tak, CEO of IMS Mobility, and Min Kyung-min, CEO of Oasis Equity Partners, who were implicated in the 'housekeeper gate'. Park Jeong-ho, the presiding judge in charge of warrants at the Seoul Central District Court, denied the arrest warrants today after pre-arrest suspect hearings (warrant hearings) for Jo, IMS Mobility director Mo Jae-yong in charge of management support, and Min. Judge Park gave the reason for denial as "insufficient demonstration of the necessity for detention or concerns about flight or evidence destruction." Jo was charged with breach of trust and embezzlement under the Act on the Aggravated Punishment of Specific Economic Crimes (the Special Act), Mo was accused of evidence concealment, and Min was charged with breach of trust under the Special Act; arrest warrants were requested on the 29th of last month.

◆ September mock exam administered today

The September mock exam, the last practice test before the 2026 College Scholastic Ability Test, is being held nationwide today. The number of test-takers is 515,900, an increase of 27,608 from last year. Current students number 410,210, and graduates and others number 105,690. Compared with last year, when repeat test-takers surged due to the increase in medical school quotas, the number only slightly decreased. The trend of natural science students shifting from science inquiry subjects to the relatively less burdensome social inquiry subjects, known as the 'satam-run', continues in this test as well, making it difficult to predict the results.

◆ Clear nationwide then clouding from the afternoon

Today, Wednesday, will be generally clear nationwide but will gradually become cloudy from the afternoon. In the Chungcheong region, the southern provinces, and Jeju Island, there may be showers from the morning through the night, and in Incheon, Gyeonggi, and the west coast, raindrops of less than 0.1 mm may fall late tonight. Expected rainfall is 5∼60mm depending on the region. Despite the gloomy weather, the highest apparent temperature will rise to around 33 degrees, making it very hot. Daytime high temperatures are forecast at 27∼33 degrees. Fine dust concentrations will be 'Good' across all regions due to smooth atmospheric dispersion.

No Jeong-dong Hankyung.com reporter dong2@hankyung.com