TOKYO: Tokyo s benchmark index rebounded sharply Tuesday, casting off heavy early losses to sit 1.50 percent higher by the last few minutes of morning trade.
The Nikkei 225 at the Tokyo Stock Exchange, which plunged more than four percent at the open, added 284.84 points to stand at 18,825.52 just before the break.
The Topix index of all first-section shares jumped 1.87 percent, or 27.63 points, to 1,508.50, also clawing back big losses.
The Nikkei dropped to a six-month low on Monday, swept up in a global equities rout as worries about a China slowdown — and the broader impact on the global economy — sent investors running for cover.
Fears that Asia s biggest economy is growing more slowly than previously thought have infected markets after the Chinese central bank devalued the yuan in a shock move seen as an attempt to boost sagging exports.
Tokyo s recovery on Tuesday came as the dollar clawed back some losses against the yen — a plus for Japanese exporters profitability.
On currency markets, the greenback fetched 120.11 yen, well up from 118.51 yen in New York. Investors tend to buy the yen as a safe haven in times or uncertainty or turmoil.
