Nikkei 225 · August 27, 1992

The rebound at the first bottom after the bubble

+6.13%

single-day change vs previous close

Part of a longer stretch

The rally the stimulus bought

early in it · 1992-08-18 → 1993-09-13, +47.79% over the whole period

What happened that day?

The Nikkei 225 rose 6.13% on the day. A week earlier, on 18 August, it had made its first bottom since the bubble burst
The week's material was the government's largest stimulus package to date — more public works and support for the share market. The formal announcement came the next day, on 28 August
From the peak at the end of 1989 to this point the Nikkei had fallen more than fifty percent — and more than sixty at the low a week earlier
The package started a rebound that ran to September of the following year
But it left the underlying problem — the banks' bad loans — untouched. So when the rebound ended, shares slid again
Japan only dealt with that problem after public money went in during 1998. It took another six years

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 put together from the public record; where a specific source was consulted it is listed above.