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28-659: As of 31 December 2007, the Osaka Securities Exchange had 477 listed companies with a combined market capitalization of $ 212 billion. The Nikkei 225 Futures , introduced at the Osaka Securities Exchange in 1988, is now an internationally recognized futures index. In contrast to the Tokyo Stock Exchange , which mainly deals in spot trading, the Osaka Securities Exchange's strength is in derivative products. The OSE

56-518: A gain of over 10,000 in two years, making it one of the fastest growing stock market indices in the world. However, by 2018, the index growth was more moderate at around the 22,000 mark. There was concern that the rise since 2013 was artificial and due to purchases by the Bank of Japan ("BOJ"). From a start in 2013, by end 2017, the BOJ owned circa 75% of all Japanese Exchange Traded Funds ("ETFs"), and were

84-619: A merger with the Chicago Board of Trade in an $ 8 billion deal. Shareholders of both companies approved the merger on July 9, 2007, and the deal closed on July 12, 2007. The overarching holding company then launched as CME Group. On January 13, 2008, electronic trading at the Chicago Board of Trade shifted onto CME Globex. In 1984, the CME was investigated by the U.S. Government Accountability Office. During this investigation, it

112-405: A part of. In addition, complex hand signals (called Arb ) are used. These hand signals were first used in the 1970s. Today, however, headsets are also used by the brokers to communicate with the traders. The pits are areas of the floor that are lowered to facilitate communication, somewhat like a miniature amphitheater . The pits can be raised and lowered depending on trading volume. To an onlooker,

140-552: A post-bubble intraday low of 6,994.90 on 28 October 2008 — 82% below its peak nearly 19 years earlier. The 1989 record high held for 34 years, until it was surpassed in 2024 (see below). On 15 March 2011, the second working day after the massive earthquake in the northeast part of Japan , the index dropped over 10% to finish at 8,605.15, a loss of 1,015 points. The index continued to drop throughout 2011, bottoming out at 8,160.01 on 25 November, putting it at its lowest close since 31 March 2009. The Nikkei fell over 17% in 2011, finishing

168-600: A top 10 shareholder of 90% of the Nikkei 225 constituents. On 15 February 2021, the Nikkei average breached the 30,000 benchmark, its highest level in 30 years, due to the levels of monetary stimulus and asset purchase programs executed by the Bank of Japan to mitigate the financial effects of the COVID-19 pandemic . On 22 February 2024, the Nikkei reached an intraday high of 39,156.97 and closed at 39,098.68, finally surpassing its 1989 record high, an important milestone since

196-471: Is a price-weighted index . The index is calculated as follows: A d j P r i c e = P r i c e × A d j F a c t o r {\displaystyle AdjPrice=Price\times AdjFactor} , then ∑ A d j P r i c e D i v i s o r {\displaystyle {\frac {\sum AdjPrice}{Divisor}}} As of July 2024 ,

224-512: Is now an internationally recognized futures index . The Nikkei average has deviated sharply from the textbook model of stock averages, which grow at a steady exponential rate. During the Japanese asset price bubble , the average hit its bubble-era record high on 29 December 1989, when it reached an intraday high of 38,957.44, before closing at 38,915.87, having grown sixfold during the decade. Subsequently, it lost nearly all these gains, reaching

252-533: Is president. On August 18, 2008, shareholders approved a merger with the New York Mercantile Exchange (NYMEX) and COMEX. CME, CBOT, NYMEX , and COMEX are now markets owned by CME Group. After the merger, the value of the CME quadrupled in a two-year span, with a market cap of over $ 25 billion. Today, CME is the largest options and futures contracts open interest (number of contracts outstanding) exchange of any futures exchange in

280-624: Is the leading Derivatives Exchange in Japan and it was the largest futures market in the world in 1990 and 1991. According to statistics from 2003, the Osaka Securities Exchange handled 59% of the stock price index futures market in Japan, and almost 100% of trading in the options market. Osaka Securities Exchange Co., which listed on its Hercules market for startups in April 2004 is the only Japanese securities exchange which went public on its own market. In July 2006 OSE launched their newest futures contract

308-489: Is weighed by market capitalisation rather than stock prices. The Nikkei 225 began to be calculated on 7 September 1950, retroactively calculated back to 16 May 1949, when the average price of its component stocks was 176.21 yen. Since July 2017, the index is updated every 5 seconds during trading sessions. The Nikkei 225 Futures , introduced at Singapore Exchange (SGX) in 1986, the Osaka Securities Exchange (OSE) in 1988, Chicago Mercantile Exchange (CME) in 1990,

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336-631: The Edo period , when an exchange for rice and crops was established in Osaka, which at the time was the economic center of Japan. Each prefecture set up its own warehouses in Osaka for shipping & preservation of their rice (to be taxed by the government), and sold to merchants. One of the most famous merchants was "Yodoya", which was based in the southern part of the Yodoyabashi area. Some other merchants gradually gathered to create one market. This market

364-428: The Japanese asset price bubble . On 4 March 2024, the index surpassed 40,000 (intraday and closing) for the first time in history. On 5 August 2024, amid a global stock market decline, the Nikkei dropped by more than 4,200 points, surpassing 1987's Black Monday as its biggest single-day drop in history. The following day, it bounced back by more than 3,200 points, the largest single-day gain in history. The index

392-598: The Nikkei Stock Average ( Japanese : 日経平均株価 , Hepburn : Nikkei heikin kabuka ) , more commonly called the Nikkei or the Nikkei index ( / ˈ n ɪ k eɪ , ˈ n iː -, n ɪ ˈ k eɪ / ), is a stock market index for the Tokyo Stock Exchange (TSE). It is a price-weighted index , operating in the Japanese Yen (JP¥), and its components are reviewed twice a year. The Nikkei 225 measures

420-477: The CME Globex electronic system. More than 90 percent of total volume at the exchange occurs electronically on CME Globex. Operating during regular trading hours (RTH), the open outcry method consists of floor traders standing in a trading pit to call out orders, prices, and quantities of a particular commodity or its derivatives. Different colored jackets are worn by the traders to indicate what firm they are

448-698: The Nikkei 225 consists of the following companies (Japanese securities identification code in parentheses): Chicago Mercantile Exchange The Chicago Mercantile Exchange ( CME ) (often called " the Chicago Merc ", or " the Merc ") is a global derivatives marketplace based in Chicago and located at 20 S. Wacker Drive. The CME was founded in 1898 as the Chicago Butter and Egg Board , an agricultural commodities exchange. For most of its history,

476-887: The Nikkei 225 mini, which is one tenth of the size of the original Nikkei 225 Futures contract and highly popular among Japanese individual investors. In September 2007 OSE established evening session for Stock Index Futures and Options .The trading hours is from 16:30 to 19:00 ( JST . 7:30-10:00 in UTC ). In July 2012 a planned merger with the Tokyo Stock Exchange was approved by the Japan Fair Trade Commission . Today, despite its name, trading for Osaka Stock Exchange takes place in Tokyo. The birthplace for futures transactions: Dōjima Rice Exchange ( 堂島米会所 The origin of securities exchanges stems from

504-436: The company with the largest influence on the index is Fast Retailing ( TYO : 9983 ), at about 10% weight. The Nikkei 225 is traded as a future on the Osaka exchange (OSE). The contract specifications for the Nikkei 225 (OSE ticker symbol JNK) are listed below: The following table shows the annual development of the Nikkei 225, which was calculated back to 1914. The GICS breakdown is shown here. As of October 2023 ,

532-645: The exchange was in the then common form of a non-profit organization, owned by members of the exchange. The Merc demutualized in November 2000, went public in December 2002, and merged with the Chicago Board of Trade in July 2007 to become a designated contract market of the CME Group Inc., which operates both markets. The chairman and chief executive officer of CME Group is Terrence A. Duffy , Bryan Durkin

560-587: The one billionth (1,000,000,000) transaction was recorded. When CME Globex was first launched, it used Reuters ' technology and network. September 1998 saw the launch of the second generation of CME Globex using a modified version of the NSC trading system, developed by Paris Bourse for the MATIF (now Euronext ). Traders connect to CME Globex via Market Data Protocol (MDP) and iLink 2.0 for order routing. On October 17, 2006, Chicago Mercantile Exchange announced

588-425: The open outcry system can look chaotic and confusing, but in reality, the system is a tried and true method of accurate and efficient trading. An illustrated project to record the hand signal language used in CME's trading pits has been compiled. CME Group announced in 2021 that it will permanently close most of its physical trading pits, including those for grain trading. They had been closed since March 2020 due to

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616-523: The outbreak of the COVID-19 pandemic . Operating virtually around the clock, today the CME Globex Trading System is at the heart of CME. Proposed in 1987, it was introduced in 1992 as the first global electronic trading platform for futures contracts. This fully electronic trading system allows market participants to trade from booths at the exchange or while sitting in a home or office thousands of miles away. On October 19, 2004,

644-623: The performance of 225 highly capitalised and liquid publicly owned companies in Japan from a wide array of industry sectors. Since 2017, the index is calculated every five seconds. It was originally launched by the Tokyo Stock Exchange in 1950, and was taken over by the Nihon Keizai Shimbun ( The Nikkei ) newspaper in 1970 , when the Tokyo Exchange switched to the Tokyo Stock Price Index (TOPIX), which

672-497: The world. The Merc trades several types of financial instruments : interest rates , equities , currencies , and commodities . CME also pioneered the CME SPAN software that is used around the world as the official performance bond (margin) mechanism of 50 registered exchanges, clearing organizations, service bureaus, and regulatory agencies throughout the world. Trading is conducted in two methods; an open outcry format and

700-448: The year at 8,455.35, its lowest year-end closing value in nearly thirty years, when the index finished at 8,016.70 in 1982. The Nikkei started 2013 near 10,600, hitting a peak of 15,942 in May. However, shortly afterward, it plunged by almost 10% before rebounding, making it the most volatile stock market index among the developed markets . By 2015, it had reached over 20,000 mark, marking

728-443: Was called "Yodoya-Komeichi", and was the first securities exchange in the nation. Later on, this market was moved to Dōjima in 1697. The so-called "Dōjimakomekaisho", was a physical market that traded in rice-tickets or physical rice. In 1716, Cho-gomai transactions were introduced and recognized by the government in 1730 — this is said to be the origin of futures transactions in Japan. Nikkei 225 The Nikkei 225 , or

756-524: Was realized that the open-outcry system could be abused. The GAO noted that the exchange made attempts to cut down on malpractice, but that it is likely that illegal activity still occurs. Chicago Mercantile Exchange was known as the Chicago Butter and Egg Board when it was founded in 1898, and futures available through the exchange were initially limited to agricultural products. In 1919 the Board

784-487: Was restructured and the name changed to Chicago Mercantile Exchange, which reflected a new focus on commodities beyond butter and eggs, including potatoes, onions, and cheese. In 1972, CME introduced the first financial futures market, offering contracts on seven foreign currencies. By the 2000s, CME had expanded to offer four core financial instruments: commodities, foreign exchange, interest rates, and stock indexes. As of 2022, CME operates under CME Group, which offers

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