The Nikkei 225 index witnessed sharp volatility on Tuesday, falling close to 5% in early trade before trimming some losses by mid-session. As of 9:40 a.m. (IST), the benchmark index was down about 3%, recovering from its steep morning plunge.
The sell-off saw the Nikkei briefly dip below the 49,000 mark, touching an intraday low near 49,073, before stabilizing around 49,990 later in the day. The benchmark opened at 51,291, sharply lower than its previous close of 51,497.20.
Investor sentiment turned risk-averse amid renewed concerns over global growth and geopolitical tensions, with profit booking also weighing on export-heavy shares. The benchmark remains well below its recent 52-week high of 52,411, although far above the 52-week low of 30,792, underscoring the market’s strong rally earlier in the year.
At present, the Nikkei remains down roughly 1,500 points (2.93%) for the session, reflecting broader caution across Asian markets.
