Japanese Exchange Group Posts Record Numbers In 2023
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The Japan Exchange Group has posted its trading data for 2023. The published data shows that trading activity increased significantly during the year to reach record levels.
The annual trading volumes in the cash equity market on the main floor during the year reached an all-time high of 943.7637 trillion yen.
Japan Stock Market Posts Record Volumes In 2023
During the year, domestic exchange-traded funds (ETFs) reached the sixth-largest level of 57.76 trillion yen. On the other hand, J-REITS reached the fifth-largest level of 12.9144 trillion yen.
One of the financial products that witnessed high trading volumes is derivatives. The total trading volumes for the derivatives market came to 394,038,423 contracts, the third-highest level ever recorded.
The total trading volumes from the derivatives markets reached a new record of 3,588 trillion yen. Additionally, night session trading accounted for 37.5% of the total trading volumes. The trading volumes for TOPIX futures contracts hit 26,627,140, the second-highest level ever recorded.
In December, the monthly derivatives volume hit 34,575,752 contracts, equivalent to 430 trillion yen. This value was the highest level ever recorded in December. The TSE REIT Index futures also reached new monthly volumes of 286,364 contracts.
Japan’s Stock Market to Continue Positive Trend In 2024
According to analysts, the reason behind the positive growth in the Japanese stock market is the weakening yen, which is encouraging exports. Gradual economic recovery and corporate governance have also improved investor interest and trading activity across the Japanese stock market.
The high trading volumes indicate increased global confidence in the Tokyo market during the New Year. According to analysts, the benchmark 225-issue Nikkei average will increase between 36,000 and 40,000, and it is also possible to reach the 38,916 peaks reported towards the end of 1989 as asset prices entered a bubble.
Nikkei gained 28% in 2023, marking the highest growth in a decade. It ended 2023 at 33,464.17, the highest year finish since 1989.
The Japanese Exchange is a vast financial exchange holding company with multiple exchanges across Japan. It is among the five leading global exchange operators regarding market capitalization. It is due to a merger between two previously large exchanges in Japan. It is now a dominant player in the industry.
