WhyItDropped

Nikkei 225 · September 11, 1992

A give-back inside the stimulus rally

-4.24%

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?

  • On 11 September 1992 the Nikkei 225 fell 4.24%
  • In late August the government had announced its largest stimulus package on record and the index had jumped
  • It expanded public works and put money into the stock market as well
  • Prices lifted by an announcement often come back as it starts being implemented, when the distance between hope and reality shows
  • No single trigger can be pinned to this day
  • In this stretch the index was 15.42% below its peak
  • The rise that package created still ran to September 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.