Summary of Major Stories: South Korea-U.S. Military Drills, Political Tensions, and Market Decline

The following is the second summary of major stories moved by Yonhap News Agency on Wednesday.

■ Seoul not notified in advance of Trump's order to scale back drills: FM Cho

SEOUL -- Foreign Minister Cho Hyun said Wednesday the government had not been informed in advance of U.S. President Donald Trump's directive to scale back combined military exercises.

"Neither our government nor U.S. officials knew what President Trump wrote on his Truth Social," Cho told the National Assembly Committee on Foreign Affairs and Unification.

■ (3rd LD) S. Korea, U.S. curtail joint military drills following Trump order

SEOUL/WASHINGTON -- South Korea and the United States are scaling down their annual combined exercise at Washington's request, the allies said Wednesday, after U.S. President Donald Trump ordered reducing the drills that North Korea could see as "hostile."

The allies will conclude the Ulchi Freedom Shield (UFS) exercise Friday, cutting the 11-day duration nearly in half, according to Seoul's Joint Chiefs of Staff (JCS) and the U.S. Defense Department. The UFS was scheduled to run from Aug. 17-27.

■ (LEAD) DP leader urges Supreme Court chief to resign over written recommendation of new justices

SEOUL -- Kim Min-seok, former prime minister and newly elected chief of the ruling Democratic Party (DP), on Wednesday urged Supreme Court Chief Justice Cho Hee-dae to step down, taking issue with his written recommendation of two new Supreme Court justice nominees to the president the previous day.

"I believe it is right for Cho, the worst chief justice since the nation's liberation, to step down," Kim said at a party leadership meeting in the southeastern port city of Busan.

■ (LEAD) Seoul shares sink nearly 6 pct on tech rout, rising yields

SEOUL -- Seoul shares dipped nearly 6 percent Wednesday, led by steep losses in chipmakers, as rising oil prices and global bond yields dampened investor sentiment. The Korean won rose against the U.S. dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) fell 398.66 points, or 5.8 percent, to close at 6,471.17, after touching an intra-day low of 6,400.81.

■ Finance chief stresses Seoul's active commitment to U.S. investment plan

SEOUL -- Finance Minister Koo Yun-cheol on Wednesday emphasized South Korea's commitment to actively engage in dialogue with the United States as Seoul seeks to implement a US$350 billion investment plan agreed upon as part of comprehensive bilateral tariff negotiations.

Koo's remarks came as Seoul faces pressure from Washington amid several unresolved bilateral trade issues after South Korea agreed last year to invest in the U.S. as part of a trade deal that lowered the U.S. tariff rate on South Korean imports to 15 percent from 25 percent.