Japan was reeling on Friday after the region northeast of Tokyo was hit by the biggest earthquake since the temblor that devastated the port city of Kobe in 1995.
Buildings were also damaged in Tokyo amid reports of injuries, and airports were closed as well as some rail services. Office buildings were evacuated and the suspension of all mobile phone networks added to the impression of panic and chaos.
As of this writing, aftershocks continue to hit Tokyo with warnings they could continue into the night.
From Reuters on Friday:
A massive 8.9 magnitude quake hit northeast Japan on Friday, causing many injuries, fires and a four-metre (13-ft) tsunami along parts of the country’s coastline, NHK television and witnesses reported. There were several strong aftershocks and a warning of a 10m tsunami following the quake, which also caused buildings to shake violently in the capital Tokyo.
TV pictures showed a vast wall of water carrying buildings and debris across a large swathe of coastal farmland. Public broadcaster NHK showed flames and black smoke billowing from a building in Odaiba, a Tokyo suburb, and bullet trains to the north of the country were halted.
Black smoke was also pouring out of an industrial area in Yokohama’s Isogo area. TV footage showed boats, cars and trucks floating in water after a small tsunami hit the town of Kamaichi in northern Japan.
In the markets, the yen fell against all 16 of its most-traded counterparts, reaching the lowest level in two weeks against the dollar of Y83.30, and falling 0.4 per cent to 114.98 against the euro, according to Bloomberg.
Prime Minister Naoto Kan’s office set up an earthquake response team as authorities issued a tsunami warning for northeast Japan.
One currency strategist told Bloomberg that the quake was:
“Obviously bad news and the inclination is to sell yen” … “The yen is a safe haven itself and the fact that Japan runs a current-account surplus means there’s a possibility that, if this is very serious, Japan might keep more of its money at home.”
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