When Kim Jong-un and Moon Jae-in met last week, hopes were high but so were doubts that North Korea was really serious about its promises to dismantle its nuclear capacity. Regardless of concerns, Asian equities rallied today. South Korea's KOSPI was the fastest rising index in Asia today with a +0.92% gain, indicating sentiment is bullish on the prospect of real and lasting peace on the Peninsula. A successful agreement between all parties including the US and Japan would remove a huge geopolitical risk from the markets, which was particularly worrisome to investors through 2017.
We are not out of the woods yet though. Investors should keep a close eye on the terms of any agreement. The North could ask US troops to withdraw from the region - something Trump may be reluctant to agree to. If the deal falls through, it could set back relations even further.
Via: https://invstr.com/