It was a setting to try to avoid shutter shock when using the mechanical shutter at slower shutter speeds, roughly 1/60 to 1/320, give or take, with certain lightly constructed kit lenses.
I knew some Panasonic models use this to reduce shutter shock but I am not sure whether GX9 needs it. The reason I skipped the previous versions of the GX-ish series is because of the shutter shock problem. I recall when GX9 came out, DPR here stated that the problem has been fixed. I don't remember whether GX9 just has a more robust shutter system or mainly uses the e-shutter to get around the problem. If the latter, I should either do what you do or leave it at Auto. Currently i left mine at mechanical s because I often use GX9 indoors.
Panasonic had introduced a fix for that years before the GX9 arrived - in the GX8's successor, their GX80 [ aka GX85, GX7 Mk II etc].
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In their own Press Release, "The LUMIX GX85 adopts a new electromagnetic drive in the shutter unit. The shock caused by the movement of shutter diaphragm is dramatically reduced and the shutter sound is also minimized. "
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... with these two quotes coming from DPR's review thereof...
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"[The GX85...] also has a redesigned shutter mechanism. Shutter-induced blur ('shutter shock') was an issue we encountered on the GX8, which used a motor and spring arrangement in its shutter mechanisms. The new electromagnetic shutter found in the GX85 resolves this problem."
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and
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"Shutter shock or not?
The big question we had when it came to image quality from the GX85 was whether or not shutter shock issues that have plagued previous Panasonic Four Thirds cameras have been neutralized by a redesigned shutter mechanism, as Panasonic claimed.
Looking at a comparison of the mechanical shutter side by side with the electronic shutter you'll notice slightly less aliasing when using the mechanical shutter, meaning it is ever so slightly less sharp. But the difference is negligible, meaning shutter shock is effectively a non-issue on the GX85. This is a serious improvement over the GX8 and G7."
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If only they'd then followed that by a version that offered the 20MP sensor and a fixed OLED viewfinder?