Monday, 24 August 2015 11:49
TOKYO: Tokyo’s benchmark stock index dropped more than four percent to finish at a six-month low on Monday, swept lower in a global equities rout as worries about China’s economy deepen.
The Nikkei 225 at the Tokyo Stock Exchange entered a correction as it dived 4.61 percent, or 895.15 points, to end at 18,540.68 — its lowest point since February — with bank shares tumbling and Toyota losing more than 6.0 percent.
The broader Topix index of all first-section shares shed 5.86 percent, or 92.14 points, to close at 1,480.87.
Markets across Asia fell off a cliff Monday, with Shanghai shares dropping by a hair-raising 8.45 percent at the break. Taipei shares tumbled more than seven percent in the island’s steepest ever intra-day decline.
The bloodbath in Asian shares follows a big drop on Wall Street Friday as the Dow Jones Industrial Average lost more than 500 points, or 3.12 percent, in its worst single session in nearly four years.
Jitters over China and the global economy saw traders move into the yen — a safe haven in times of turmoil and uncertainty — which is a negative for Tokyo equities as a stronger yen hurts the profitability of Japanese exporters.
The dollar was at 121.16 yen Monday afternoon, well down from 122.06 yen on Friday in New York and compared to 124 yen on Thursday in Asia.
