Seoul: South Korea's financial watchdog has urged securities firms to create 'contingency' plans in anticipation of increased market volatility due to political turmoil related to martial law. According to Yonhap News Agency, the local financial markets experienced disruption on Wednesday following President Yoon Suk Yeol's declaration of emergency martial law late Tuesday, which was subsequently lifted after a parliamentary vote to block the decree. The National Assembly, controlled by the opposition, had earlier introduced a motion to impeach President Yoon over the failed attempt to enforce martial law. The benchmark Korea Composite Stock Price Index (KOSPI) witnessed a decline of 10.64 points, or 0.43 percent, settling at 2,453.36 in the first 15 minutes of trading. This followed a 1.44 percent dip the previous day, reflecting the market's reaction to the unfolding political developments. Hahm Yong-il, senior deputy governor of the Financial Supervisory Service, addressed the heads of local securities firms, noting that while the local stock and currency markets showed signs of stabilization, there remains a fear of increased market volatility depending on the extent of political uncertainties. He emphasized the necessity for securities firms to devise contingency plans to mitigate any potential fallout from the ongoing political unrest.