Update: The dollar is trading up on the news. At least for now, the default is to flea to the safety of the greenback in a moment of panic.
Original post: Good thing there’s no trading in the US on Monday, because by Tuesday US markets will have forgotten the news that North Korea just tested another nuke.
All the major news outlets confirm that North Korea performed an underground test, producing a sizable, 4.9 magnitude earthquake.
The South Korean stock market dropped 4% on the news.
It’s also a good reminder: Although financial innovation has gotten a bad rap, technical innovation is pretty miserable too.