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A KOSPI Rally Isn’t Always A Good Omen For Wall Street

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South Korean stocks surged on Friday, with the KOSPI index rising nearly 18%.

Despite the dramatic gains, the index was still down for the week and the month, a testament to how volatile Korean equities have been as of late.

Not counting today, the KOSPI has gained more than 10% in a single day in only six instances, according to Dow Jones Market Data. History shows that in the week following those six times, the S&P 500 traded lower two-thirds of the time, with an average decline of 1.6%.

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