Comment: Nikkei dropped 7.3% last night.

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SteveMT's picture

Nikkei dropped 7.3% last night.

Nikkei's U-turn may not be the big trigger for a Wall Street pullback
1 hour 45 minutes ago

The 7.3% freefall for the Nikkei Stock Average on Thursday must have been terrifying to watch, let alone read about. It was the worst one-day fall since the country suffered its most powerful earthquake ever in March 2011.

Japanese Economy Minister Akira Amari tried to calm the situation by saying the "pace of the Nikkei's rise recently was faster than expected." Of course he helped tank the dollar in the process and didn't seem to provide much comfort to anyone, blaming it all on that weak Chinese data that was also a major headache for markets on Thursday.

What many may be asking as they wake up to these ugly losses with stock futures pointing due south, is if Wall Street could be looking at a correction like the Nikkei's nightmare u-turn on Thursday.