Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Japan's Nikkei 225 stock index sinks nearly 13% as investors dump a wide range of shares

Japan's Nikkei 225 share index has plunged nearly 13% as investors worried that the U.S. economy may be in worse shape than had been expected dumped a wide range of shares

Via AP news wire
Monday 05 August 2024 06:45 BST
Japan Financial Markets
Japan Financial Markets

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Japan’s Nikkei 225 share index plunged nearly 13% as investors worried that the U.S. economy may be in worse shape than had been expected dumped a wide range of shares.

The Nikkei index was down 12.9% at 31,290.63 by midafternoon Monday in Tokyo.

It dropped 5.8% on Friday and it is headed for its worst two-day decline ever.

The Nikkei's biggest single-day rout was a plunge of 3,836 points, or 14.9%, on the day dubbed “Black Monday” in October 1987. It suffered an 11.4% drop in October 2008 during the global financial crisis and fell 10.6% during the aftermath of massive earthquakes and nuclear meltdowns in northeastern Japan in March 2011.

Share prices have fallen in Tokyo since the Bank of Japan raised its benchmark interest rate on Wednesday. The benchmark is now about 4% below the level it was at a year ago.

The wave of selling hit a broad range of companies.

Toyota Motor Corp.'s shares dropped 11% and Honda Motor Co. lost 13.4%. Computer chip maker Tokyo Electron dived 15.8% and Mitsubishi UFJ Financial Group plunged 18.4%.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in