Japanese Stocks Rally After Historic Plunge

Japanese stocks saw a sharp rebound on Tuesday morning after suffering their biggest one-day drop since the 1987 Black Monday crash. The Nikkei index surged by 9.4%, fueled by major gains in technology shares, although investors remained cautious about potential market instability and economic challenges.

In a dramatic turnaround, Japanese stocks surged in morning trading on Tuesday, rebounding sharply after their worst single-day drop since the 1987 Black Monday crash.

The Nikkei index rocketed 9.4% as of midday, propelled by significant gains in major technology shares. Tokyo Electron and Advantest leaped over 16% and 14.5%, respectively, while SoftBank Group saw a 9.3% jump.

This recovery followed a 12.4% plummet on Monday, with investor anxiety triggered by global market declines and fears of a U.S. recession. Analysts remain cautious about market stability, highlighting that opportunities may arise, but it's too soon to re-enter aggressively.

(With inputs from agencies.)