Nikkei Plunges 6.4%; In response, BOJ Governor Kuroda says that the Japanese economy is on a steady path to recovery...Submitted by go213mph on Thu, 06/13/2013 - 09:02
Japan's benchmark Nikkei 225 accelerated its losses to plunge over 6 percent on Thursday in a vicious sell-off that took the index to levels not seen before the Bank of Japan launched its massive stimulus program on April 3.
Uncertainty over central banks rolling back stimulus saw dollar/yen drop below the key 95-handle, rising nearly 2 percent to plumb a new 10-week low. The Nikkei is now down over 21 percent from last month's five-and-a-half-year high of 15,942, placing the benchmark firmly back in bear market territory for the second time in less than a week.
In response to the steep falls, Bank of Japan Governor Haruhiko Kuroda was quoted by the Nikkei business daily as saying that the Japanese economy is on a steady path to recovery and that financial markets will calm down over time.