Japan's Nikkei sees best day since October 2008; logs record single-day jump in points

Japan's stocks rebounded sharply on Tuesday after the Nikkei 225 and the Topix dropped over 12% in the previous session. Other Asia-Pacific markets were mostly higher.

The Nikkei 225 — which saw its largest loss in the previous session since the 1987 Black Monday crash — as well as the broad-based Topix gained over 9%.

The Nikkei ended the day up 10.23% at 34,675.46, hitting its largest daily gain since October 2008 and highest ever spike in terms of index points. The Topix finished up 9.3% at 2,434.21.

The rallies in Japan saw both indexes climb back into positive territories for the year so far.

On July 30, the Bank of Japan had raised rates to their highest level since 2008, causing the yen to strengthen to a seven-month high, pressurizing stocks.

Markets globally were also spooked by fears of a U.S. recession stoked by a weaker-than-expected jobs report as well as the unwinding of the yen "carry trade."

Japan's heavyweight trading houses rebounded to close at gains of over 5%, with Mitsui up 10.43% and Softbank Group Corp jumping 12.06%.

Other sectors that saw rallies included Japanese automakers and semiconductor suppliers, such as Suzuki Motor and Renesas Electronics, which rose over 17.01% and 19.06%, respectively.

The yen weakened 1.45% to trade at 145.6 against the U.S. dollar.

South Korea's Kospi jumped 3.3% to end the day at 2,522.15, while the small-cap Kosdaq rose 6.02% to 732.87. The South Korean markets had been halted temporarily on Monday after they fell 8%, triggering circuit breakers.

South Korean heavyweight Samsung Electronics rose 1.54%, while chipmaker SK Hynix climbed 4.87%.

Mainland China's CSI 300 closed about even to end at 3,342.98, while Hong Kong's Hang Seng index was little changed as of its final