Financials gained strongly early on as acquisition activity re-emerged, but the conviction that US housing losses were set to spread sent stocks tumbling. Later in the period, the country's third-largest property and casualty insurer, Sompo Japan Insurance, plunged the most in a decade, after confirming that it faces huge compensatory payouts on products linked to sub-prime mortgages.Corporate sentiment faded, particularly in the real estate industry, sending stocks in the sector tumbling. Meanwhile, industrial metals declined amid gloomy analyst forecasts for 2008.