Tokyo Stock Exchange History & Trading Holidays

 


Tokyo Stock Exchange History

The Tokyo Stock Exchange (TSE)  is the second largest stock exchange in the world behind the New York Stock Exchange.  The exchange currently has 2,271 stocks listed on the exchange and has a total market capitalization of 5 trillion USD.  The Tokyo Stock Exchange was established on May 15, 1878 and trading officially began on June 1, 1878.  There was a major consolidation of a number of exchanges throughout Japan in 1943, to form one single Japanese Stock Exchange.  The benchmark index for the Tokyo Stock Exchange is the Nikkei 225.

Tokyo Stock Exchange Bubble

The Tokyo Stock Exchange had one of the greatest expansions in modern history when the Japanese real estate and stock market experienced a tremendous bull market from the early 80s through 1990.  After WWII Japan created strict tariffs which lead to a lot of saving amongst the Japanese people.  This surplus in cash made it easier for banks to extend loans for homes and businesses.  Hence the yen was able to increase in value against other world currencies.  This bull market ultimately lead to an all-time high of 38,957.44 on December 29, 1989 for the Nikkei.  This final push up lead to one of the longest bear markets in recent years.  Many historians are citing the Japanese asset bubble is a possible indication of the length and duration of the potential bear market as a result of the 2008 credit crisis.  The difference is that the U.S. government was proactive and flooded the credit markets with cash in order to prevent the credit markets from freezing up.

Important Dates for the Tokyo Stock Exchange

  • May 15, 1878 - Tokyo Stock Exchange was established
  • April 1, 1949 - Post WWII Tokyo Exchange founded
  • March 1, 2000 - Niigata and Hiroshima exchanges merge into TSE
  • August 1, 2007 - Tokyo Stock Exchange, Inc. established

Tokyo Stock Exchange Trading Holidays

  • January 1,2,3 2009 - New Years Day
  • January 12, 2009 - Coming of Age Day
  • February 11, 2009 - National Foundation Day
  • March 20, 2009 - Vernal Equinox
  • April 29, 2009 - Showa Day
  • May 5, 2009 - Children's Day
  • July 20, 2009 - Ocean Day
  • September 21, 2009 - Respect for the Aged Day
  • September 22, 2009 - Holiday
  • September 23, 2009 - Autumn Equinox
  • October 12, 2009 - Health-Sports Day
  • November 13, 2009 - Culture Day
  • November 23, 2009 - Labor Thanksgiving Day
  • December 23. 2009 - Emperor's Birthday