Japan stocks confirmed a bear market on Monday, with the Nikkei 225 and Topix dropping over 12%. The indexes have fallen by more than 20% from their all-time highs in July. The loss of 4,451.28 points on the Nikkei was the largest in its history, with the index closing at 31,458.42. This decline follows a sell-off last week, with the Nikkei and Topix falling over 5% and 6%, respectively. South Korea’s Kospi also fell 8.1%, leading to a 20-minute halt in trading. Meanwhile, China’s service sector saw growth in July, with a purchasing managers’ index of 52.1, up from 51.2 in June.
Other Asian markets also saw declines, with Taiwan’s benchmark index down over 8% and Australia’s S&P/ASX 200 falling 3.7%. The Reserve Bank of Australia is expected to hold rates steady at 4.35%. In the U.S., stocks fell sharply on Friday following a weaker-than-expected jobs report for July, with the Nasdaq entering correction territory. The S&P 500 dropped 1.84%, the Nasdaq lost 2.43%, and the Dow Jones Industrial Average fell 1.51%.
Investors are closely monitoring key trade data from China and Taiwan, as well as central bank decisions from Australia and India. The overall market sentiment is cautious, with concerns about a potential recession looming. The market volatility is expected to continue as global economic uncertainties persist.
Photo credit
www.nbcnews.com
