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Nikkei 225

a.k.a. Nikkei, JP225

Japan's best-known stock index, tracking 225 big companies listed in Tokyo.
In plain English

Japan's best-known stock index, tracking 225 big companies listed in Tokyo.

The Nikkei 225 follows 225 large companies on the Tokyo Stock Exchange. Unusually, it is price-weighted: a company with a high share price moves the index more than one with a low share price, regardless of how big the company actually is.

It has a famous yen connection. A weaker yen makes Japan's exporters' overseas profits worth more at home, so the Nikkei often climbs when USD/JPY rises, and vice versa.

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