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Black day on the Nikkei sees Japan’s big three down more than a third in 2016

Stocks took another pummeling in Tokyo today, with once again shipping firms suffering the brunt of the bears.

The Nikkei 225 sank 4.8% to 14,952.61, capping off its worst weekly performance since 2008, investors spooked by the dollar diving to a 15-month low against the yen, something that is expected to harm exports. The Nikkei is now down 21.4% for the year.

Once again this week it was shipping stocks that were among the worst performers.

Nippon Yusen Kaisha (NYK) was down 9.86% to Y192, Kawasaki Kisen Kaisha (K Line) dropped 6.63% to close on Y169, while Mitsui OSK Lines (MOL) suffered a 9.8% reversal to end the week on Y184.

More alarmingly are the drops Japan’s biggest lines have seen in share prices year-to-date; MOL down by 40% since January 1, and NYK and K Line both off by 35%.

The full scale of the dire shipping markets facing the Japanese trio was laid bare on January 29, when they all slashed full year forecasts while announcing their third quarter results.

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Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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