The Japanese Stock Exchange Nikkei Crashed Due to Fear of Virus Outbreak

The Japanese stock exchange started the new week on Monday with a significant loss.

 

Hopes for a rapid recovery in the global economy have declined due to an increase in the number of new corona cases in China and the United States, among others.

A disappointing Chinese industry figure also caused price pressure. In addition, investors were already looking forward to the interest rate decision of the Japanese central bank on Tuesday.

The main index in Tokyo, the Nikkei 225, closed 3.5 percent lower at 21,530.95 points. Japanese airlines were among the biggest droppers due to fears of a new wave of corona infections.

Chip companies Tokyo Electron, Advantest and Screen Holdings were also sold and lost up to 7 percent. Beverage producer Sapporo Holdings fell 6 percent after a recommendation cut by Nomura.

In Shanghai, the main index recorded 0.8 percent in the min. In Beijing, some residential areas have been quarantined after a new virus outbreak in the Chinese capital.

On a macroeconomic level, it also appeared that industrial production in China increased less sharply in May than expected. Retail sales also declined more than expected last month.

The Hang Seng index in Hong Kong lost 1.9 percent, and the Kospi in Seoul fell more than 4 percent. The All Ordinaries in Sydney lost 1.8 percent.

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