Nikkei 225 · January 27, 2006
When reform hopes were at their height
+3.58%
single-day change vs previous close
Part of a longer stretch
Four years off the bottom
midway through · 2003-04-28 → 2007-07-09, +140.04% over the whole period
What happened that day?
- The Nikkei 225 rose 3.58% on the day
- The recovery that began at the 2003 bottom was at its strongest around now. Banks had cleared their bad loans and were lending again
- This was the result of several years of clean-up after public money went in during 1998. Admitting the problem took eight years; resolving it took several more
- A law privatising the postal business had passed the year before, so hopes that structural reform was genuinely happening were high too
- Foreign investors bought Japanese shares in size in this period
- The recovery was cut off by the global financial crisis in the summer of 2007. Japanese banks' direct losses were small, but a surging yen broke the exporters
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.