Tokyo Stock Exchange Data (2024)

FAQs

Why is The Nikkei 225 price-weighted? ›

The Nikkei is price-weighted, which means the index is an average of the share prices of all the companies listed. Because each company's stock is weighted by its price per share, the Nikkei tends to be influenced by high-priced stocks such as technology stocks.

The TSE is one of the biggest and most famous exchanges in the world, and is known for having a big influence on global finances. Its listed companies include well-known Japanese giants such as Toyota, Honda, Mitsubishi and Sony.

As mentioned previously, the Nikkei Index ranks stocks by price and tracks the top 225 companies listed on the Tokyo Stock Exchange. In contrast, TOPIX ranks stocks by free-float adjusted market capitalization. TOPIX also tracks all domestic companies listed in the First Section of the Tokyo Stock Exchange.

How do you calculate the Nikkei225? ① Prices of the constituents are adjusted by the Price Adjustment Factor (PAF), ② Such adjusted prices are summed and divided by the divisor. Third digit under the decimal is rounded to make the index have two digits under the decimal.

The Role of Indices in Stock Exchange Trading

In the same way, the Nikkei 225 tracks 225 top Japanese industrial companies and shows how the Asian market is doing, while the Dow Jones tracks 30 big US stocks and shows how the global market is doing.

Japan's Nikkei share average dropped 0.31% to 38,946.93, impacted by investors anticipating U.S. chipmaker Nvidia's earnings. Daikin Industries and SoftBank Group declined, while chip-related shares like Advantest and Tokyo Electron rose.

The exchange is owned by Japan Exchange Group (JPX), a holding company that it also lists (TYO: 8697), and operated by Tokyo Stock Exchange, Inc., a wholly owned subsidiary of JPX.

The Tokyo Stock Exchange (TSE) is the largest stock exchange in Japan, headquartered in its capital city of Tokyo. The Tokyo Stock Exchange was established on May 15, 1878. As of Sept. 14, 2021, the exchange had 3,784 listed companies.

Tokyo Stock Exchange is located in Japan and is regulated by the TSE is Self-Regulated through JPX-R & supervised in collaboration with the SESC.

As of the end of 2023, around 3.9 thousand companies were listed on the Tokyo Stock Exchange (TSE) in Japan. The number of companies listed at the end of the year increased by 64 compared to 2022.

What is the largest stock market in the world? ›

New York Stock Exchange

But it has remained the largest stock exchange in the world by market capitalisation ever since the end of World War I, when it overtook the London Stock Exchange. In 2012, the NYSE was taken over by an American futures exchange group, Intercontinental Exchange.

(Japanese: 株式会社日本経済新聞社, Hepburn: Kabushiki gaisha Nihon Keizai Shinbun-sha) is a Japanese media company which owns The Nikkei and the Financial Times. Its first publication was in 1876 with the publication of The Chugai Bukka Shimpo (Domestic and Foreign Prices News).

The Nikkei 225 measures the performance of 225 highly capitalised and liquid publicly owned companies in Japan from a wide array of industry sectors.

Definition of 'Nikkei'

1. an index showing the average closing prices of 225 stocks on the Tokyo Stock Exchange. 2. an American of Japanese descent. [1980–85; ‹ Japn]

The benchmark index for the Tokyo Stock Exchange set an all-time high on Thursday, closing up 2.19% at 39,098. The Nikkei 225 closed above its previous all-time high of 38,915.87, set on Dec. 29, 1989, during the economic boom of the bubble era. The surge signals a possible end to the country's so-called lost decades.

Capitalization-weighted indexes are widely used because the values change proportionally to the price changes of each component (since market capitalization is determined by the stock price multiplied by the number of shares outstanding). The indices also consider the shareholder base of each component.

An index fund weighted by market capitalization invests more into certain companies than others. Regardless of the overall scale of companies that an index represents – small-cap, mid-cap, or large-cap – the index is stacked heavily in favor of the largest companies in the index.

In a price-weighted stock index, each company's stock is weighted by its price per share, and the index is an average of the share prices of all the companies. Price-weighted indexes give greater weight to stocks with higher prices in terms of their contribution to the index value and changes in the index.

Key Takeaways. The Dow Jones is a price-weighted index, meaning its value is derived from the price per share for each stock divided by a common divisor. The Dow was created by Charles Dow to reflect a simple way of showing the average price of stocks in the marketplace.