Nothing says “buy, buy, buy” like a nuclear war, which is why it makes sense that the Kospi hit a record high intraday on Thursday after rising for third day in four.
Earlier, the Bank of Korea kept rates on hold:
- Bank of Korea Keeps Interest Rate at 1.25% as Forecast
Now I know you don’t care about that, but it’s another one of those things worth filing away in case you need to refer to it later.
The thing is, rates on hold + the BoK raising its GDP target to 2.8% from 2.6% + dovish Yellen, equals risk-on. Here’s a little perspective on South Korean stocks:
And the won hit a more than two-week high:
While yields fell after the fifth day of bond inflows from foreign investors, who bought $1.6 billion worth on Wednesday:
But before you go thinking that South Korea is some kind of “safe” place to be stashing your money, do remember that, as it turns out, it’s still really close to North Korea…