Nikkei 225 · November 17, 1997
A bounce amid the bank crisis
+7.96%
single-day change vs previous close
Part of a longer stretch
When the banks themselves failed
midway through · 1996-06-26 → 1998-10-09, -43.18% over the whole period
What happened that day?
- On 17 November 1997 the Nikkei 225 rose 7.96% in a single day
- That November, Japanese brokerages and banks were failing one after another
- Loans made during the bubble had gone bad and had been festering for years before breaking open
- Word that the government would inject public funds to support financial institutions produced a sharp bounce
- The Asian currency crisis was spreading at the same time, which made Japan's bad loans look more dangerous
- The actual injections did not get going until the following year. The Nikkei kept sliding into 1998
Sources
Every figure on this page is recomputed from the original daily closing prices and checked against them at build time. The account of what happened is written from the sources listed above.