Nikkei plunges seven percent in early trading

Persistent fears of a global recession and a grim warning from Toyota Motor that it was cutting its net profit forecast in half drove down Japan's benchmark Nikkei more than seven percent in early trading.


Japan's Nikkei stock index tumbled more than seven percent in early trading on Friday, hit by growing fears of a deep global recession and a profit warning from Toyota Motor.

The benchmark lost 633.05 points to 8,266.09.

Global markets tumbled on Thursday after an unprecedented British interest rate cut of 1.5 percentage points and a slew of gloomy profit forecasts.

After the close on Thursday, Toyota slashed its annual net profit forecast by more than half and said earnings tumbled 48 percent in the six months to September due to a stronger yen and weak global economy.

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