On what date did Japan's Nikkei 225 reach its record closing high before the asset-price crash?

Japan’s Nikkei 225 reached its record closing high on December 29, 1989, before the asset-price crash.

The index closed at 38,915.87 on the final trading day of 1989. The extraordinary level came during Japan’s asset-price bubble, when land and share prices rose dramatically amid easy credit, optimistic expectations, and intense speculation.

The bubble began to deflate after monetary policy tightened and real-estate and equity valuations became unsustainable. The Nikkei fell sharply in 1990 and continued to struggle for years, while falling property values weakened banks and borrowers. Japan then entered a prolonged period of slow growth and financial repair often called the “Lost Decades.”

The 1989 peak is frequently confused with a later market bottom. The Nikkei eventually fell below 8,000 in 2003, but that was not the crash’s starting point. It did not regain its 1989 closing high until 2024, making the recovery unusually long by major-market standards.