South Korean stocks swung wildly in the United States on Tuesday amid a day of political turmoil in Korea after President Yoon Suk Yeol was forced to lift an earlier emergency martial law decree, raising fears of instability in the thirteenth largest economy in the world.

The iShares MSCI South Korea ETF (EWY),
which tracks more than 90 large and mid-sized companies in South Korea, fell as much as 7% to hit a 52-week low. Later in the day, the ETF pared losses and closed Tuesday down 1.6% after Yoon said he would lift the emergency declaration following the National Assembly’s vote to revoke his martial law decree.

The iShares MSCI South Korea ETF drops

The ETF is still on track for its fifth consecutive negative day with unusually high trading volume. More than 35 million shares have changed hands so far on Tuesday, more than 10 times their 30-day average volume.

Shares of Korean companies traded in the United States moved away from their session lows. Korea Electric Power’s American depositary receipts (ADRs) fell more than 2%, and Korean e-commerce giant Coupang lost 3.7%. KT Corp., formerly Korea Telecom, saw its shares fall less than 1%. Posco, a South Korean steel maker, fell more than 4%.

Three hours after Yoon declared martial law on Tuesday night, 190 of the National Assembly’s 300 lawmakers met to revoke the emergency order.

The president accused opposition parties of sympathizing with North Korea and controlling parliament. Yoon did not specify how martial law (a temporary regime imposed by military authorities in times of emergency) would affect governance and democracy in the country.

“The Administration is in contact with the government of the Republic of Korea and is closely monitoring the situation,” the White House National Security Council said in a statement to NBC News.

According to the declaration of martial law, all political activities and acts that “incite social disorder” are prohibited. This is the first time since 1980 that a South Korean leader has issued a declaration of martial law.

The Korea Stock Exchange announced early Wednesday morning that the stock market would begin normal trading at 9 a.m. KST.

The US dollar last rose about 0.9% against the South Korean won on Tuesday.

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