Nikkei Plunges as President Trump's Vow to Strike Iran Shakes Global Markets
Tokyo, Friday, 3 April 2026.
President Trump’s April 2026 vow to strike Iran “extremely hard” instantly erased over 1,000 points from Japan’s Nikkei index, triggering a massive surge in global oil prices.
A Swift Reversal in Tokyo
Japanese equities initially opened on a positive note on Thursday, April 2, 2026, buoyed by overnight gains on Wall Street and hopes for a rapid de-escalation of the Middle East conflict [1][4]. The benchmark Nikkei 225 index climbed 327 points to 54,066 in early morning trading [1]. However, the market experienced a violent reversal mid-morning as U.S. President Donald Trump delivered a televised address [1][5]. The Nikkei plummeted, briefly shedding over 1,400 points before closing down 1,276.41 points, or 2.38 percent, to settle at 52,463.27 [4][5]. The broader Topix index mirrored this sharp downturn, falling 59.23 points to finish at 3,611.67 [4][5]. Leading the sell-off on the Prime Market were nonferrous metals, insurance, and oil and coal product issues [4].