A North Korean war appears as a distinct possibility, but the markets appear not to be pricing in this possibility. As NBC news reports Thursday that US intelligence agencies are “unanimous” in their assessment that North Korea has a mini nuclear weapon, a Daiwa Capital Markets report says renegade leader Kim Jong-un has “chosen a path of no return” with “little room for either side to step back.” But are markets pricing in the possibility that the US will be forced to tolerate a nuclear North Korea? North Korean war: Window for the US to ‘denuclearise’ the North has almost…
Diawa: Markets Not Pricing Risk Appropriately On North Korea Threat
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.