often used in the past when it is gearing up for negotiations with the outside world.
Reports of a possible naval clash saw the won weaken roughly 0.45 percent against the dollar and were cited by analysts as one reason for a dip in U.S. stocks.
Markets have become largely inured to saber-rattling by North Korea but it has in the past caused brief jitters that were quickly reversed.
The ship sank near the disputed Yellow Sea border off the west coast of the peninsula, which was the scene of two deadly naval fights between the rival Koreas in the past decade.
Navies from the rival Koreas exchanged gunfire for the first time in seven years in the Yellow Sea in November
christian loubiton on sale , damaging vessels on both sides.
(Additional reporting by Cho Mee-young, Cheon Jong-woo, Kim Miyoung, Jon Herskovitz and Jonathan Thatcher; Writing by Jonathan Thatcher; Editing by Paul Tait)
World
South Korea sees no chance of the latest tension on the divided peninsula turning to outright war but is deeply concerned that the North may try terror attacks on civilians, a high ranking South Korean official said on Friday.
He also said that though both sides have been careful not to push too far, Seoul was ready to send in troops if there is what he called "extreme provocation" by the North.
Relations on the peninsula have plunged back into the Cold War freezer following the March sinking of a South Korean warship, killing 46 sailors, which an international investigation last week said was caused by a North Korean torpedo in one of the deadliest incidents since the end of the 1950-53 Korean War.
"I can assure you North Korea will never use that option (full scale war), simply out of national interest
christian loubiton on sale ," the South Korean official, who asked not to be named, told foreign reporters.
He said Pyongyang knows major conflict, including the use of nuclear and chemical weapons, would result in the forced reunification of the peninsula.
Analysts say the million-strong but poorly equipped North Korean military is no match for the South and its U.S. ally
Wholesale MLB Jerseys saidat a seminar in Tokyo., which keeps 28,000 troops on the peninsula.
Asked about possible civilian attacks
christian loubiton on sale , the official said: "That's the part over which we have the most concern."
The South Korean government is already stepping up security ahead of the G20 summit which Seoul hosts in November.
There have been some concerns that the North might use South Korean workers in a joint industrial park just inside its border as hostages.
"In that case we would use the military," said the official.
But he doubted the North would do anything to damage the Kaesong industrial estate for fear of triggering social unrest. Tens of thousands of families in the area rely on it for their income, in a country which uses handouts to feed its population.
"North Korea is very afraid of shutting down Kaesong
christian loubiton on sale ," he said. Most of the salaries for the workers go straight to Pyongyang, making Kaesong an important source of legitimate income for the North Korean leaders