Nikkei sees biggest one-day jump since 2008 financial crisis

Tokyo stocks rocketed 7.71 percent Wednesday, leading an Asian equities rally as investors scooped up shares on the cheap, while a weak yen and hopes that China's wild market volatility was ending also boosted buying.

The Nikkei-225 at the Tokyo Stock Exchange soared 1,343.43 points to 18,770.51 by the close, in its biggest one-day jump since late 2008 during the global financial crisis and Lehman Brothers bankruptcy when markets were hit by heavy volatility.

The broader Topix index of all first-section shares jumped 6.40 percent, or 90.66 points, to 1,507.37.

Wednesday's recovery came after the Nikkei tumbled 2.43 percent a day earlier, wiping out all of its gains since the start of the year, as weak China trade data aggravated worries about the world's number two economy.

The Nikkei had been up almost 20 percent on the year in late June, before tumbling as China devalued its yuan currency last month, setting off a wave of global volatility.

"The selloff in Japanese equities has been excessive amid concerns over China's economic slowdown," said Khiem Do, Hong Kong-based head of multi-asset strategy at Baring Asset Management.

"Today's rally can be sustained once the market's perception of the Chinese economy improves."

Fears of a slowdown in Chinese growth have sent panic through world stock exchanges, as the country is a key driver of global expansion and a vital market.