Sex scandal hits shares

Press, 29 June 1989, Page 28

Sex scandal hits shares

The private life of the Japanese Prime Minister, Mr Uno, took centre stage in the market yesterday as she— , .ices plunged on reports, later denied, that he would resign over a sex scandal. Prices closed broadly down in light trade, but above their lows on afternoon bargain-hunting, brokers said. "Basically, people panicked,” said one broker at a foreign securities house. “With no energy in the market, any rumour scares people away.” The key 225-share Nikkei index dropped 223.61 points, or 0.67 per cent, to close at 33,245.60 after plunging as much as 57.20 to a low of 32.952.01 early in the afternoon. The Nikkei lost 156.61 points on Tuesday. The turnover was 600 million shares against 500 million on Tuesday. The Nikkei opened lower after talk that Uno might resign, and other rumours involving Mr Uno’s private affairs greased the market’s slide, brokers said. The scandal emerged about two weeks ago when a magazine reported that Mr Uno paid three million yen to a geisha.