Toyota 8 models recall help stocks slide

Stocks in Tokyo have seen a huge slide due to Toyota’s recent recall of eight of its models. The high Yen is now having an adverse effect on exporter shares, but it is the Japanese automaker that is taking the biggest beating for the fourth day in a row.

This is all to do with Toyota halting the production of eight models until they can solve the problem with the faulty accelerator pedals, which we covered in a recent post. The Yen is going from strength to strength, with a five-week high against the U.S. Dollar and a nine-month high against the Euro.

Toyota shares fell 4.4% to just Y3,705, following the announcement of the U.S. division suspending sales of eight of its new models to solve the issue of the faulty accelerator pedal. Production has now been suspended for one week.

It is not known how long shares will be affected, we will have to wait until we know how long the duration of the suspension is, this was according to Goldman Sachs analyst Kota Yuzawa. The high Yen is also playing its part for Toyota as it is for other Japanese exporters.

Sony saw a drop of 2% to Y2,940, while Canon shares fell by 2.8% to Y3,615. For more details on this visit The Wall Street Journal.

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Written by Peter Chubb

Peter has been writing on Product-Reviews since 2007 and in that time much has changed for him, like his hair having more grey than brown now. He loves gadgets and cars, and gets excited when big events come up, such as CES and the big auto shows.

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He started out working in a factory and dreamed of the day when he could become his own boss; That happened back in 2002 and he has never looked back since. Things have changed so much on the Internet in that time, but he has adapted well.

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