The U.S. Navy said aircraft carrier operations in the South China Sea are part of its routine presence in the Indo-Pacific region.

By sending warships beyond Japan, the Chinese Navy is demonstrating its ability to project sea and air power far past its home waters.

The two Chinese aircraft carriers spotted conducting simultaneous operations in the Pacific for the first time send a political message about the country's "expansionist" aims, Taiwan Defence Minister Wellington Koo said on Wednesday.

U.S. stocks drifted just below their all-time high as the wait continues to hear what will come of trade talks underway between the United States and China.

The S&P 500 ended higher on Tuesday, lifted by a rally in Tesla as investors bet on positive results from U.S.-China trade talks aimed at defusing a tariff dispute that has roiled global markets this year.

Top officials from the United States and China said Tuesday that they had agreed on a "framework" to move forward on trade, following two days of high-level talks in London to resolve tensions.But Lutnick said Tuesday that US measures imposed when rare earths "were not coming" would likely be relaxed once Beijing moved forward with more license approvals.