The Japan stock market will remain closed for trading from Monday, 21 September to Wednesday, 23 September. The normal trading will resume on Thursday, 24 September.
This brings regular trading in Tokyo-listed shares to a halt. However, Nikkei futures continue to trade, USD/JPY remains active, and overseas markets continue to react to incoming developments.
While Japan’s cash equity market may remain closed, parts of its derivatives market are still operational. JPX has confirmed holiday trading through the Osaka Exchange on September 21, 22 and 23, covering products including Nikkei 225 futures. As a result, futures markets continue to offer a channel for shifts in investor expectations around Japanese equities to be reflected.
Why Japanese markets are closed for three days?
Japan’s major financial markets will remain closed for the first three days of the week. The Tokyo Stock Exchange and Osaka Exchange are shut on Monday for Respect for the Aged Day, Tuesday for a Citizens’ Holiday and Wednesday for Autumnal Equinox Day, according to the Japan Exchange Group’s calendar.
The Tuesday holiday follows a rule under which a working day falling between two national holidays is designated as a public holiday.
Japan stock market update
The Nikkei 225 index closed the final cash trading session on September 18 at 65,018.95, gaining 882.70 points, or 1.38%. The sharp rise helped the index reclaim the 65,000 mark for the first time in nearly a week.
The Friday gains were supported by a combination of central bank policy, currency movements and a recovery in semiconductor stocks. The Bank of Japan raised its policy rate by 25 basis points to 1.25% from 1%, taking borrowing costs to their highest level since 1995. The decision was passed by a 7-2 vote and had been broadly anticipated by markets. However, the presence of two dissenting members and Governor Kazuo Ueda’s lack of a firm commitment to further rate hikes led investors to view the decision as less hawkish than expected.
Meanwhile, the yen weakened to around 157 per dollar following the announcement, providing support to Japanese exporters.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
