South Korean stocks fall 2% after martial law showdown

Short-term volatility expected to rise, confidence in the economy could be hit

20241204 a TV screen broadcasting a news

People in Seoul  on Dec. 4 watch a TV screen broadcasting a news report on South Korean President Yoon Suk Yeol's declaration and subsequent lifting of martial law. © Reuters

LISA KIM, Nikkei staff writer

TOKYO -- South Korean stocks declined 2% on Wednesday as the martial law showdown in the early hours roiled the country's markets.

The Finance Ministry said it will take every measure necessary to stabilize financial and foreign exchange markets, including providing "unlimited liquidity." The country's financial regulator said it is ready to inject 10 trillion won ($7.1 billion) into the stock market to stabilize it if needed.

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