Japan's Nikkei soars 12 per cent in early trading

Japanese stocks have surged in line with a strong rebound in the global market following a raft of international government pledges to inject cash into the ailing financial system. By Danielle Demetriou in Tokyo Within hours of Tokyo Stock Exchange opening, the Nikkei stock average jumped more than 12 per cent, in a marked contrast to last week, when the country suffered its worst one day losses since the 1987 crash. While Asia led a global surge in share prices yesterday, Japan’s financial system was today making up for lost time following a three-day weekend due to a national holiday. The surge in the Nikkei, which wiped out last Friday’s 9.6 per cent drop, reflected growing confidence that international government measures to thaw frozen credit markets and boost bank funding would help stabilise increasingly volatile... [read full story]