Japan Market Collapses 6.4%, Europe Next
Japan's Nikkei fell by 6.4%, and entered bear territory after a huge run up over the past several months. The market has bounced up and down for weeks, due to questions about intentions of the Bank of Japan and worry about the overall economy.
According to MarketWatch:
Asian stocks swooned Thursday after uncertainty over U.S. monetary policy led to more declines on Wall Street, with Japanese stocks standing out with massive losses as a further rally in the yen thrashed exporters.
The Nikkei Stock Average plummeted 6.4% to end at 12,445.38 in Tokyo for its sixth loss in seven trading days. The drop marked the benchmark's decline for a seventh straight Thursday, including the 7.3% plunge on May 23.
The selloff came as the U.S. dollar fell as low as ¥93.76 during the session, nearly two full yen lower than the ¥95.61-level seen in North America late on Wednesday. The drop followed a third straight session of losses for U.S. stocks Wednesday, on concerns the Federal Reserve could taper down its bond purchases.
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