The Nikkei 225 peaked on December 29, 1989, before Japan’s asset-price crash. It closed that day at 38,915.87, its record high for decades.
The peak came after a major rise in Japanese share and property prices during the late 1980s. Easy credit, speculation, and strong optimism helped push asset valuations to extraordinary levels. Japan’s central bank then tightened policy, contributing to the collapse of the bubble.
The Nikkei fell heavily during the 1990s, while Japan entered a prolonged period of weak growth and financial stress often called the Lost Decade. The index did not regain its 1989 closing high until 2024.
The Nikkei 225 is a price-weighted index of 225 major companies listed on the Tokyo Stock Exchange’s Prime Market. It is not the same as TOPIX, which uses a different construction and coverage.