About Nikkei 225
The Nikkei 225 is a price-weighted index for the Tokyo Stock Exchange, it is also named as Nikkei Stock Average, Nikkei, or the Nikkei Index.
As one of the most traded indexes, the contracts from Nikkei 225 follow one of the oldest barometers of the Japanese market, first calculated in 1949. It is structured to reflect the Japanese stock market using the 225 top-rated Japanese companies. Following the Nikkei index, news regarding the Japanese economy is also available from sites of similar names such as Nikkei Asia, or Nikkei JP which is a media organization.
Currently, Orient Futures Singapore offers Nikkei 225 futures from 3 main exchanges, Chicago Mercantile Exchange (CME), Osaka Exchange Incorporated (JPX), and the Singapore Exchange (SGX). Hence, this article will provide information regarding the benefits offered by the exchanges as well as the recent events revolving around each product.
Chicago Mercantile Exchange (CME)
CME is the first U.S Exchange to trade derivatives contracts based on a non-U.S-based stock index in September 1990. Since its listing on the exchange, it is one of the most widely followed and frequently quoted worldwide.
Nikkei 225 futures and options recently introduced two enhancements to aid in managing the benchmark Japanese equity exposure. These enhancements are the launch of Basis Trade on Index Close (BTIC) on Nikkei 225 futures and the extension of the curve up to 5 years for Yen- and USD- dominated Nikkei 225 futures.
Some of the key benefits of the exchange are mentioned by CME as benchmark exposure, flexibility, liquidity, and significant spreading opportunities.
From CME group, the prices of the quarterly JPY and USD-denominated Nikkei 225 Index are also examined, it is determined that generally speaking, they follow each other up-and-down, reflecting the valuation of the stock market they track… The price differential is unmistakably present and diminishes to zero as the expiry draws near.
Nikkei 225 (USD) Futures
Nikkei 225 (Yen) Futures
Nikkei 225 (Yen) BTIC Futures
Nikkei 225 (USD) Futures
The Nikkei 225 (USD) Futures has the following specifications:
The contract unit for the Nikkei 225 (USD) Futures is 5 USD x Nikkei Stock Average, with a minimum price fluctuation of 5.00 per index/$25 point.
Contract months for quarterly contracts are in March, June, September, and December listed for 12 quarters, and 3 additional Dec contract months.
Trading Hours are from Sunday to Friday, at these trading hours:
06:00 p.m. – 05:00 p.m. (5.00 pm – 4.00 pm/CT) with a 60-minute break each day beginning at 5:00 pm. (4:00 p.m. CT)
Nikkei 225 (USD) Futures Symbol/CME Global: NKD
Nikkei 225 (USD) Futures Symbol/CME Clearport: NK
Nikkei 225 (USD) Futures Symbol/CME Clearing: NK
Nikkei 225 (USD) Futures Symbol/CME BTIC: NKT
Nikkei 225 (Yen) Futures
The Nikkei 225 (Yen) Futures has the following specifications:
The contract unit for Nikkei 225 (Yen) Futures is 500-yen x Nikkei Stock Average, with a minimum price fluctuation of 5.00 index point = ¥2500
BTIC: 0.10 index points = ¥50
Details regarding the trading hours and contract months are the same as the Nikkei 225 (USD) Futures. (Refer to the above).
Osaka Exchange Incorporated (JPX)
JPX Nikkei launched a previous suite of Nikkei futures and options which includes JPX-Nikkei Index 400 futures. This was when the derivatives industry was in its initial emerging phase.
Moving forward into 2023, the market has matured and grown to include a variety of products such as the FTSE JPX Net Zero Japan 500 Index or other indices and commodities. Most recently, Nikkei 225 micro-Futures were announced to be launched on May 29, 2023. These contracts are expected to cater to the recent trend of smaller investments and more precise risk management.
JPX-Nikkei Index 400 Futures
Nikkei 225 Futures
Nikkei 225 Options
Nikkei 225 Mini Futures
Singapore Exchange (SGX)
Nikkei 225 futures is the first Asian Stock Index Futures that launched from SGX, in its early launch in 2014, the SGX Nikkei 225 Futures and options were the fastest-growing contract globally at 10.2 million. In 2022, the SGX Nikkei 225 Index Futures volume continued to increase 17%, while SGX Nifty 50 Index futures volume gained 14%.
Among the exchanges, SGX hosts one of the most FX products, and the exchange was crowned Asia’s largest derivatives exchange.
Nikkei 225 Index Futures
Nikkei 225 Index (Trade at Index Close) Futures
Nikkei ESG-REIT Index Futures
Nikkei Stock Average Dividend Futures
USD Nikkei 225 Index Futures
Market News
In reference to the recent news from market watch dated 10 Jan 2023, Japan’s benchmark Nikkei 225 NIK, +0.01% rose 1% in morning trading, globally, it is anticipated that a positive start to 2023 helped by hopes that cooling inflation and a slowing economy may convince the Federal Reserve to ease off its markets-sharing hikes to interest rates.
However, the index is described to be a “more volatile trajectory” as the week prior indicated that the Nikkei 225 Index was down 120.65 points and it was down for four consecutive weeks.
Start Trading With Orient Futures Singapore
Being an Overseas Intermediary of Shanghai International Energy Exchange (INE), Dalian Commodity Exchange (DCE), and Zhengzhou Commodity Exchange (ZCE), when foreign clients participate in internationalised futures contracts in these Chinese markets with us, they have direct access to trading, clearing, and settlement. Our parent company, Shanghai Orient Futures, is the largest broker in terms of aggregated volume across the five regulated exchanges in China.
Orient Futures Singapore also currently holds memberships at the Singapore Exchange (SGX), Asia Pacific Exchange (APEX), and ICE Futures Singapore (ICE SG).
We provide premium customer service at an affordable cost to all our clients. Our team will be there for you 24 hours on trading days to provide a one-stop portal for all your trades, with simple processes and an intuitive user interface that has low or near-to-zero latency.
