Japan’s Topix Plunges Most Since May 2013, Entering Correction

Japan’s Topix index plunged the most since May 2013 to enter a correction amid elevated volume as Chinese equities led a deepening global rout.

The Topix plunged 5.9 percent to 1,480.87 at the close in Tokyo, down 12 percent from its high on Aug. 10. Trading volume was 84 percent higher than the 30-day intraday average. Real-estate and financial shares led declines, while Toyota Motor Corp. was the biggest drag on the measure.

Equities worldwide have lost more than $5 trillion in value since China’s shock yuan devaluation on Aug. 11, which spurred a slump in emerging-market currencies and fueled speculation that the slowdown in the world’s second-largest economy may be deeper than previously thought. European shares entered a correction on Friday, while stocks from Hong Kong to Indonesia fell into bear markets.

Futures on the Standard & Poor’s 500 Index tumbled 2.4 percent after the underlying measure last week capped the worst week since 2011.

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