Nikkei 225 · June 26, 1996
The year the rescue bought
+56.48%
trough back to the old high
244 trading days · 1995-07-03 → 1996-06-26
this undid the slide that began 1992-01-09
What happened that day?
- From the low on 3 July 1995 to the high on 26 June 1996, the Nikkei rose 56.48% over 244 trading days
- That spring the record-strong yen finally turned, after coordinated intervention
- A cheaper yen lifts exporters' profits immediately, and the index rose hard on it
- This is also when the Bank of Japan cut rates effectively to zero
- The government decided to use public money to clear the losses of the housing loan companies — the first time taxpayer funds went in
- It was the largest bounce of the lost decades, and it still only reached about sixty percent of the 1989 peak
- A consumption tax rise and the Asian crisis broke it the following year
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.