The news that Nancy Pelosi will visit Taiwan affects market pricing.
The expectation that Nancy Pelosi will visit Taiwan during her Asia Pacific trip has increased the US-China tensions. However, the Biden administration wants to reduce tensions with China.
According to some reports, Pelosi is expected to arrive in Taiwan at 22:20 local time. Pelosi will meet with Taiwan leader Tsai Ing-Wen. On the other hand, US officials informed China that the visit did not mean a change in Taiwan policies. China says Pelosi’s visit will “have grave consequences.”
The expected visit has impacted markets. Taiwan Stock Exchange fell 2.1 percent today, while the Japanese yen hit a two-month high against the dollar in search of a safe haven. On the other hand, the Taiwan dollar has been trading at its weakest level since May 2020.
Another geopolitical development took place in Afghanistan. US President Joe Biden announced that Ayman al-Zawahiri, the leader of al-Qaeda after Osama Bin Laden, was killed in Kabul by the CIA’s drone operation.
