Kobe Earthquake’s Impact on the Nikkei and $/Yen

First, our thoughts and prayers are with the Japanese.   They are a great nation and a good people.  Watching this happen unfold in  real time is stunning and we are hoping for a miracle that the loss of life is limited.  We were living in and lost a house in a powerful L.A. quake and understand the fear when the earth shakes.

Though it is too early to assess the full damage of this quake, the following chart illustrates how the January 17, 1995 Kobe Earthquake, which measured 7.3 and killed 6,434 people, impacted the Nikkei and $/Yen.   The Nikkei fell 24.6 percent before bottoming at the end of June.

The Yen actually strengthened 18 percent before the dollar hit the famous “Rubin bottom” in April 1995.   The dollar was already in downtrend and further weakened by the U.S. bailout of the Mexico when the Kobe quake hit, so it is difficult to fully extract its true impact on the exchange rate.  (click here if chart is not observable)

This entry was posted in Currency, Dollar, Japan and tagged , , , . Bookmark the permalink.

9 Responses to Kobe Earthquake’s Impact on the Nikkei and $/Yen

  1. Pingback: Kobe Earthquake’s Impact on the Nikkei and $/Yen | The Big Picture

  2. Scott says:

    Great chart,
    thanks for the post.
    – Scott

    http://www.infinitemind.blog.com

  3. Pingback: Chart Update: Kobe Earthquake Impact on NIKKEI and Yen | Wordwide News Exposed

  4. John says:

    Japan is not a great nation.

  5. darrel says:

    The Business)of Mobile cellphones has exploded beyond mere doubt that laptops and desktops are soon the thing of the past{Companies are rushing to keep up and persude customers to [carry large bulky devices when infact smart phones, devices can do all that and much more. visit: mse.innovativeplatforms.net

  6. Test Anchor says:

    Hey there! I simply wish to offer you a huge thumbs up for your excellent info you’ve got right here on this post. I am returning to your web site for more soon.

  7. Pingback: ” Chart Update: Kobe Earthquake Impact on NIKKEI and Yen

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.