Japan's Nikkei 225 Plunges 4,451 Points, 12.4% in Largest Drop Since 1987

Aug 5, 2024, 05:39 AM

Japan's stock market experienced a historic plunge on Monday, with the benchmark Nikkei 225 index closing down 12.4%, marking its worst single-day percentage fall since 1987. The index fell by a record 4,451.28 points to close at 31,458.42, surpassing the previous record drop seen during the Black Monday crash in 1987. The broader Topix index also saw significant declines, falling as much as 7% and triggering a circuit breaker. The sell-off extended losses from last week and was fueled by concerns over the U.S. economy, which had recently posted weaker-than-expected jobs data. Other Asia-Pacific markets also experienced declines, with South Korean and Taiwanese markets falling more than 8%. The Nikkei 225 is now officially in bear market territory, down more than 20% from its recent peak. This marks the biggest 2-day drop for the Nikkei, and its largest drop in history since November last year.