As a result to North Korea’s largest ever nuclear test, Investors turned into haven assets especially gold and the Japanese Yen and sold stocks
A safe-haven asset is an asset that is uncorrelated (weak safe-haven) or negatively correlated (strong safe haven) with another asset or portfolio in times of market stress or turmoil. It should not be confused with a hedge, which is an asset that is uncorrelated (weak hedge) or negatively correlated (strong hedge) with another asset or portfolio on average. Hence, a safe-haven asset protects investors during crises, unlike a hedge, which protects them in normal times, but not necessarily during turmoil. Thus, a safe-haven asset is expected to retain its value or even increase its value in times of market turbulence, when most asset prices decline.