“China's military said on Wednesday it recently conducted a military exercise around Taiwan as a "serious warning" to interactions between the US and Taiwan,” Reuters reported, citing Chinese state media.

China-Russia joint strategic aerial patrol is not targeted at the third party, the military said.

Also read: US President Biden: No change to policy of strategic ambiguity on Taiwan

Market reaction

The above headlines have little to no impact on the market, as risk sentiment remains in a better spot heading towards the European open.

AUD/USD is consolidating its rebound around 0.7100 while the S&P 500 futures is trading 0.31% higher on the day.