Missile Tests to Hit iShares Korea ETF?

Excerpt from our One Page Annotated Wall Street Journal Summary (which you can get emailed to you every morning by signing up here):

North Korea Test-Launches Missiles

• Summary: In defiance of the international community, a "significant escalation of its confrontation with the U.S. over its weapons programs" and a violation of its self-imposed moratorium on long range missile tests, North Korea fired 6 missiles including one long-range missile. The long-range missile disintegrated 40 seconds after launch. While US officials said that was due to a malfunction, it is possible that North Korea intended to test only the first stage of the missile. The launches are " expected to renew drives by the U.S. and Japan to take more coercive measures" against North Korea. The US hopes that the test will convince South Korea and China to reduce aid to North Korea, but many North Korea watchers believe that South Korea and China fear an economic collapse in North Korea if they cut off aid.
• Comment on related stocks/ETFs: US investors in South Korean stocks, like those in Chinese stocks, arguably underestimate the political risks of that market. Expect the North Korean missile tests to impact the iShares Korea ETF (EWY).