Yen and bonds rise in safe haven trade after South Korea declares martial law | Forexlive

Opposition party members say the entrance to parliament is blocked as they try to overturn a shock announcement by the president of martial law in South Korea.

Opposition leader Lee Jae-myung said “Yoon declared martial law illegally and unconstitutionally against the people”. He said members of the military may try to arrest lawmakers.

The South Korean won is down about 1% and trading at a two-year low.The South

The market was caught off guard by the announcement and it led to a bid in bonds and the yen. Market participants are wondering whether this is about budget measures or something darker.

After the initial drop in yields, there is some retracement.