Fukushima Nuclear Disaster — March 11, 2011
Earthquake, tsunami, and nuclear meltdown rattle global markets
A magnitude-9.0 earthquake and tsunami struck Japan, triggering a nuclear meltdown at Fukushima Daiichi. The Nikkei plunged roughly 17% in 4 trading days including a 10.6% single-day drop. The S&P 500 fell approximately 6.5% peak-to-trough over four weeks, then recovered to new highs by late April.
What history says
Editorial commentary written by ALAN analysts. Figures cited below are analyst-authored context — they are not derived from the chart above and may reflect different windows or sources.
The S&P 500 declined 6.5% and fully recovered within six weeks. The damage was overwhelmingly concentrated in Japanese equities.
Auto and semiconductor supply chains were disrupted for weeks, but global production rerouted faster than feared.
Even the most devastating natural disaster in modern Japanese history produced only a modest, temporary pullback in US equities.
A disaster's market damage concentrates near its epicenter — Japanese equities bore the losses while the US index round-tripped in about six weeks. If the event highlights anything for your portfolio, it is single-country concentration and supply-chain-dependent positions, both better reviewed calmly than sold into the initial gap down.