Nikkei

The Nikkei 225 is a stock market index that tracks the performance of the 225 largest companies listed on the Tokyo Stock Exchange. It is the most widely followed stock index in Japan and is often used as a barometer of the overall health of the Japanese economy.

The Nikkei 225 was first published in 1950 and is calculated by the Nihon Keizai Shimbun, a Japanese newspaper. The index is a price-weighted index, which means that the prices of the constituent stocks are multiplied by their respective weightings and then added together to create the index value. The weightings of the constituent stocks are based on their market capitalizations.

The Nikkei 225 is a very liquid index and is traded on the Tokyo Stock Exchange. It is also one of the most actively traded indices in the world. The Nikkei 225 is often used as a benchmark for Japanese equities and is a popular investment vehicle for both domestic and international investors.

The Nikkei 225 has been a volatile index over the years. It has experienced several periods of sharp declines, including the 1990s Japanese asset price bubble and the global financial crisis of 2008. However, the index has also experienced periods of strong growth, including the 1980s Japanese economic bubble.

The Nikkei 225 is a valuable tool for investors who want to track the performance of the Japanese stock market. It is also a useful indicator of the overall health of the Japanese economy.