Reuters - Video

Edition: US | UK | IN | CN | JP

video MOST POPULAR

Trump stumps South Korean markets more than missile tests

Monday, July 10, 2017 - 01:12

Investors in South Korea have become accustomed to belligerence and regular missile tests from the country's hostile northern neighbour, but now there's a new factor in their regional risk assessments - U.S. President Donald Trump. Grace Lee reports.

▲ Hide Transcript

View Transcript

Explosive footage like this taking on a new shade of panic in South Korea, as Trump anxiety seeps into the country's markets. For years, investors took North Korea's regular missile tests in stride, any shocks muted by hopes diplomacy would limit Pyongyang's aggression. But since Donald Trump's election in November, price reactions to North Korea's missile tests have become much sharper. Fueled by Trump's unpredictable tweets and the White House's hardline response to Pyongyang. Experts say Trump has moved markets and China more within months than predecessor Barack Obama did in eight years. They point to costs of insurance against North Korean-related risks surging this year. And options to sell the Korean won the highest they've been since a military standoff between Seoul and Pyongyang two years ago. Now, traders and analysts say market reaction to missile tests are no longer a half-day long dip because investors aren't sure what Washington will do next. And with Pyongyang's recent successful test launch of a long range ballistic missile, the region will have to brace for even more uncertainty in the weeks to come.

Press CTRL+C (Windows), CMD+C (Mac), or long-press the URL below on your mobile device to copy the code

Trump stumps South Korean markets more than missile tests

Monday, July 10, 2017 - 01:12