The Nikkei 225 Stock Average represents blue-chip companies on the Tokyo Stock Exchange. It’s the way of choice to track the health of the Japanese stock market and economy. It can be roughly equated with the Dow Jones. It’s the oldest Asian index, existing since May 1949. It represents the most liquid domestic stocks on the Tokyo Stock Exchange, and is price-weighted. It does differ from other similar indexes, however, in that it doesn’t use market capitalization but rather stock price. It’s calculated every 15 seconds while the stock exchange is open.
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