Shares plummet in Hong Kong and Japan after Lehman Brother Collapse

As Monday was labelled “Black Monday” in America and the UK following the collapse of the leading investment bank Lehman Brothers. It’s now turn for the Asian markets: Hong Kong and Japan to feel the onslaught of the collapse as their share prices plummet.

Hong Kong share prices plunged 6.1 percent and Tokyo financial markets were down 4.7 percent in early trading on Tuesday.

Both Hong Kong and Japanese markets were closed yesterday when the collapse of Lehman Brothers sent shockwaves around the world. Yesterday saw the worse day for seven years on Wall Street, the Dow Jones closing last night down 504 points, this drop represents almost a fall of 4.5 percent.

The FTSE closed more than 200 points down, wiping off almost 4 percent off its value. As a result of this The Bank of England was quick to pump an extra £5 billion into the money markets. Another £25 billion was also added by the European Central Bank hoping to calm traders.

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