Japan’s Topix Enters Correction as Hormuz Fears Amplify Caution

Japanese stocks dropped, with the Topix sliding into a technical correction, as Donald Trump’s threats of attacks around the Strait of Hormuz pressured risk appetite while oil prices continued to climb.

The Topix index fell 3.4% to 3486.44 Monday, marking a slump of over 10% from its record high reached on Feb. 27. The Nikkei 225 also fell 3.5% to 51,515.49. Tokyo’s market was catching up with global benchmarks after a public holiday on Friday.