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My Profile Top News Reuters top ten news stories delivered to your inbox each day. Subscribe You are here: Home > News > International > Article Home Business & Finance News U.S. Politics International Technology Entertainment Sports Lifestyle Oddly Enough Health Science Special Coverage Video Pictures Your View The Great Debate Blogs Weather Reader Feedback Do More With Reuters RSS Widgets Mobile Podcasts Newsletters Your View Make Reuters My Homepage Partner Services CareerBuilder Affiliate Network Professional Products Support (Customer Zone) Reuters Media Financial Products About Thomson Reuters North Korea may have shot mid-range missile Sun Jul 5, 2009 3:11am EDT Email | Print | Share | Reprints | Single Page [-] Text [+] By Jon Herskovitz and Seo Eun-kyung SEOUL (Reuters) - The U.S. pointman for sanctions on North Korea begins talks in Malaysia on Sunday, possibly on links banks have to the North's finances, while a report said Pyongyang may have shot mid-range missiles in a series fired on Saturday. North Korea launched seven ballistic missiles, South Korea's defense ministry said, in an act of defiance toward the United States on its Independence Day, further stoking regional tensions already high due to Pyongyang's nuclear test in May. "We are on high alert," a South Korean Defense Ministry source said, adding there were no initial signs more launches were coming on Sunday. The launch, which marks an escalation of tensions by the North, will likely weigh on sentiment when markets open in Asia on Monday, but investors do not expect a major impact. The North appears to have fired two mid-range Rodong missiles, which can hit all of South Korea and most of Japan, and five Scud missiles, which can strike most of South Korea, Yonhap news agency quoted a South Korean official as saying. The official said two of the missiles travelled at a greater velocity than the others, indicating they were the Rodong type. "We found five of the seven missiles fell near the same spot in the East Sea (Sea of Japan), which indicates that their accuracy has improved," another official told Yonhap. The missiles flew about 420 kms (260 miles) and it will take a few days to confirm what was fired, the official said. Initial reports on Saturday said all the missiles appeared to be Scuds. The Scud and Rodong are ballistic missiles. Their launch would mark an escalation by the North, which has fired several non-ballistic, short-range missile since the May 25 nuclear test. North Korea is barred by U.N. resolutions from firing ballistic missiles. It has more than 600 Scud type missiles and 300 Rodong missiles which have been deployed and target U.S. allies South Korea and Japan, defense officials have said. The North's last major missile launch was in 2006 near the July 4 U.S. holiday when it fired ballistic missiles including its long-range Taepodong-2, which could hit U.S. territory but has not had a successful test flight. Japan is considering introducing a new ground-based missile defense system to complement interceptors it currently has, the Japanese daily Mainichi reported. U.S. PRESSES SANCTIONS The launches came as the United States has cracked down on firms suspected of helping the North in its arms and missiles trade, which was subject to U.N. sanctions imposed after the nuclear test and is a vital source of foreign currency for cash-short North Korea. The United States may have found several bank accounts in Malaysia suspected of belonging to North Korea and may freeze them as part of the crackdown, Yonhap reported, citing an unidentified source in Washington. Continued... View article on single page Share: Del.icio.us Digg Mixx Yahoo! Facebook LinkedIn Next Article: Russia calls on U.S. to compromise on missile defense Iran's presidential election Aftermath of Iran's election Up-to-the-minute news, photos and video of the aftermath of President Mahmoud Ahmadinejad's disputed election in Iran. Full Coverage More International News OAS suspends Honduras over coup against Zelaya | Video Russia calls on U.S. to compromise on missile defense Gunmen kidnap 16 Afghan U.N. demining workers Mexico ruling party to struggle at mid-term election Obama says U.S. a strong partner of Iraq despite pullout More International News... Related News FACTBOX - North Korea's missile arsenal 04 Jul 2009 Q+A - How North Korea earns money from arms sales 04 Jul 2009 U.S. urges North Korea not to aggravate tensions 04 Jul 2009 Japan mulls new missile defence system: report 04 Jul 2009 Russia calls on U.S. to compromise on missile defense 2:23am EDT Editor's Choice Slideshow A selection of our best photos from the past 24 hours. 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