Tokyo's dramatic stock market surge signals more volatility ahead: analysts

Tokyo

SHOWING all the volatility - and more - that has characterised recent stock market movements, Tokyo's Nikkei 225 index soared by 7.7 per cent, or 1,343 points, on Wednesday to 18,770.51, marking its most dramatic move since the 2008 global financial crisis.

Coming just one day after the market had slumped on Tuesday, wiping out all its gains so far this year, Wednesday's leap was part of a wider see-sawing movement by markets worldwide that points to further volatility ahead, analysts suggested.

The only obvious trigger in Japan was Prime Minister Shinzo Abe's virtual certainty of three more years…