The failure of U.S. energy giant Enron Corp. has rattled corporate bond markets around the world, prompting the Bank of Japan to inject trillions of yen into the banking system to offset liquidity concerns.
The collapse of Enron is feared to have cut deep into the principal sum of Japanese money management funds and to have left financial institutions with heavy losses.
The news Enron filed for bankruptcy protection Sunday came close on the heels of the failures of Taisei Fire & Marine Insurance Co. and other big-name Japanese companies.