Nikkei 225 · March 18, 1991
The first bounce
+34.25%
trough back to the old high
110 trading days · 1990-10-01 → 1991-03-18
this undid the slide that began 1990-08-16
What happened that day?
- From the low on 1 October 1990 to the high on 18 March 1991, the Nikkei rose 34.25% over 110 trading days
- The index had nearly halved over the previous nine months, so there was room to bounce
- The trigger was the Gulf crisis easing and oil coming back down
- The Bank of Japan also stopped raising rates. With the squeeze loosening, prices came back
- This was not a recovery, though. Even this high was less than half the 1989 peak
- The bad loans had not been touched, which is why the bounce did not last a year
- In the next stretch the index nearly halved again
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.