Shares of South Korean utility company Korea Electric Power (KEP) plummeted 6.68% in pre-market trading on Wednesday, caught up in a broader selloff of South Korean stocks following a short-lived period of turmoil in the country.
The sharp decline in KEP's stock price was driven by geopolitical tensions and temporary unrest in South Korea. On Tuesday, President Yoon Suk Yeol unexpectedly declared martial law, citing threats from North Korea and the need to "eradicate despicable pro-North Korean antistate forces." The declaration, which granted sweeping authority to the military over public life, sparked concerns among investors and led to a flight from South Korean assets like KEP.
However, the situation was short-lived as the National Assembly swiftly voted to end the martial law just three hours after the president's announcement, effectively forcing him to comply with the decision. While the turmoil was temporary, it was enough to rattle global markets and send stocks like KEP tumbling in the pre-market trading session on Wednesday.
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