Either of these two things fixes it - changing the display resolution to 1920x1080 or changing the refresh rate to something different than 23.9. I don't know why this way it works.
So I did both as it was actually the recommended thing to set your display resolution to 1920x1080 and set the refresh rate to 60.
Do have in mind that you may see a black screen flicker when opening the GUI while watching something with different refresh rate. To fix that you need to set the player's "Adjust Refresh" rate to not be "always" (the recommendation is "start/stop"). This way only when you stop the video you will see black screen flicker if the refresh of the video is different than 60. This is because it switches from the video refresh rate to the display refresh rate.
Reference article for the settings here.