• The KRW shattered on Tuesday after SK President declared martial law.
• SK President Yoon Suk Yeol’s martial law call ran aground of South Korean lawmakers.
• The KRW plunged to its lowest levels since mid-2023 after political turmoil.

South Korea’s conservative President Yoon Suk Yeol declared “emergency martial law” early Tuesday in a surprise move that rattled equities with exposure to South Korean markets. South Korea’s President accused the country’s opposition Democratic Party of sympathizing with North Korea and undermining South Korea’s parliament with anti-state activities. 

South Korea’s Parliament stepped in hours after President Yoon Suk Yeol’s announcement to soundly reject the South Korean President’s call for martial law. The South Korean Won stabilized slightly, paring back the day’s losses to settle USD/KRW near 1420.00 after the day’s early spike into 1445.00 early Tuesday.