JPX Launches Holiday Trading in Derivatives Market

JPX's Osaka Exchange, Inc. (OSE) and Tokyo Commodity Exchange, Inc. (TOCOM) launched holiday trading in derivatives market on September 23, 2022 (Autumnal Equinox Day), from the perspective of further convenience for investors through provision of hedging opportunities during national holidays. Derivatives products such as Nikkei 225 Futures can be traded on holidays.

The launch comes more than two years since a working group was formed in January 2020 to begin discussions on the introduction of holiday trading.

Japan launched an evening session in the year 2000, and a night session in 2011, which in 2021 was extended to 6:00 am – which made it possible to trade almost 24 hours a day on weekdays.

Since Japan has comparatively more national holidays than other countries, there was a desire to also allow trading on national holidays to provide greater opportunities for investors to hedge Japanese stocks.

Holiday trading is now allowed for index futures and options, as well as commodity futures and options. (Not for stock options and JGB futures and options).

The launch of holiday trading will mean that investors will be able to take action more swiftly when events occur overseas that impact the Japanese market.

During holiday trading sessions, the day session will run from 8:45 am - 3:15 pm and the night session from 4:30 pm - 6:00 am – with some differences for certain products.