South Korean Investors Suddenly Wake Up To Nuclear Armageddon Risks Next Door

Jon Market Commentary

The always efficient markets of the world had, until very recently discounted zero probability of any ‘risk’ for South Korean stocks. Having soared 27% in the last few months, hot money EM flows have sent KOSPI soaring, despite endless escalations in rhetoric against their neighbor; until all of a sudden, after President Trump’s “fire & fury” escalation, KOSPI ‘risk’ just exploded…
While the ‘professionals’ in the credit markets have been pricing in increasing risk for South Korea for months…

This post was published at Zero Hedge on Aug 10, 2017.