Japanese shares took a tumble on Thursday following three days of massive gains after a rise in domestic coronavirus cases stoked worries of tougher domestic restrictions for social distancing.
The Nikkei share average dropped 3.8% to 18,803.29. It had risen 18% in the last three sessions, including an 8% gain the previous day - its biggest since 2008. The broader Topix fell 2.2% to 1,392.77.
The rally was driven by a range of factors, including buying from domestic public accounts and hopes of big U.S. stimulus, which all prompted sellers to unwind their positions.
But the sentiment soured after Tokyo’s governor late on Wednesday asked residents to avoid non-essential outings through until April 12, warning of the risk of an explosive rise in infections in Japan’s capital.
Source : Reuters