The last person who imposed martial law in South Korea ended up in jail, but only after a 7-year dictatorship and a massacre that killed hundreds. Hoping history does not repeat itself. https://t.co/C7UZFgXtfx
— Pedro Magalhães (@PCMagalhaes) December 3, 2024
South Korean President Yoon Suk Yeol briefly declared martial law on Tuesday, sending shockwaves through the nation’s stock markets and political system. The announcement was met with confusion and resistance, as troops struggled to contain a rebellious National Assembly that immediately voted to end military rule. The benchmark Kospi index fell 1.4 percent in the wake of the declaration, with financial sector stocks hit particularly hard.
Major corporations like Samsung Electronics and Hyundai Motor also suffered losses.
South Korean MPs have begun impeachment proceedings against President Yoon Suk Yeol after thwarting his shock move to impose martial law
The president had said martial law was needed to protect the country from "North Korea's communist forces". https://t.co/23Y8ALdUMm— Dr Shama Junejo (@ShamaJunejo) December 4, 2024
South Korea’s stock market has been one of the worst performers globally this year, contrasting with gains seen in other major Asian and global indices. The South Korean won experienced a steep drop overnight but recovered slightly as policymakers promised support for the currency.
South Korean political activities banned, protests prohibited and media censored under martial law – live https://t.co/wh661xZQ4U
— Rauli Virtanen (@rauli_virtanen) December 3, 2024
Officials have pledged “unlimited” support to markets as traders and investors attempt to assess the impact of the political upheaval.
South Korean financial turmoil escalates
Opposition leader Lee Jae-myung initially thought the president’s martial law announcement was a deepfake, he said in an interview.
“I couldn’t believe it was real,” Lee stated. “It has to be a deepfake, I thought. But then I saw the troops on the streets and realized it was actually happening.”
The president backed down mere hours after triggering the political crisis, as the National Assembly voted to end military rule.
Analysts and investors are closely monitoring the situation for any signs of prolonged instability. While historical precedents for martial law exist in the United States, such as during the War of 1812 and after the attack on Pearl Harbor, the constitutional framework and robust system of checks and balances make it highly unlikely for a U.S. president to impose martial law nationwide. State governors have the ability to declare martial law in the event of an emergency, but their actions are subject to judicial review and cannot abrogate the federal Constitution.
