Nikkei 225 · June 6, 2008
The bounce before the storm
+22.92%
trough back to the old high
55 trading days · 2008-03-17 → 2008-06-06
this undid the slide that began 2008-01-09
What happened that day?
- From the low on 17 March 2008 to the high on 6 June, the Nikkei rose 22.92% over 55 trading days
- In March a large US investment bank nearly failed and was bought by another, with the central bank providing the money
- The market read that as the worst being over — as proof that the big ones get saved
- That reading turned out to be wrong three months later, when another investment bank was allowed to go bankrupt in September
- Oil was also climbing to an all-time high through this bounce
- The fall that began here became the final and worst stretch of the lost decades
- Within three months the index halved from this high
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.