North Korea’s artillery attack on the South Korean island of Yeonpyeong in the hotly disputed maritime border region is a provocative move to say the least. Although North and South have clashed at sea before, most notably resulting in the sinking of the Southern warship Cheonan in March, and have exchanged gunfire at the Demilitarised… [Read more]
One thing which I believe is becoming increasingly likely is a third nuclear test by North Korea. Last May, when North Korea tested its second nuke, I suggested that the entire nuclear dispute had taken on the feeling of one too many a season of ‘24’ – i.e. it had lost the ability to shock… [Read more]
In this week’s podcast Mark Schaltuper (Head of Latin America Analysis) and Terry Alexander (Head of Country Risk and Financial Markets) discuss the return of risk appetite to global markets. Assessing recent moves and a stronger-than-expected bounce in developed markets’ equities, we explore potential opportunities and the implications for emerging markets.
Question: Which country would you feel safer investing in, South Korea or Pakistan? Most people would probably say Korea, but judging by the performance of their currencies this year, the answer is not so clear cut. Every night lately, just before drifting off to sleep, I’ve found myself wondering where the Korean won would be… [Read more]
One of the currencies that I am watching most closely right now is the Korean won. Currently trading around KRW1,050/US$, I see the risk of an extended fall to KRW1,200/US$, or even beyond. The currency has been suffering all year, due to trade deficits derived from high oil prices, and massive selling of Korean shares… [Read more]
