Nikkei 225

Industrials account for almost 30% of the Nikkei 225, Japan’s major stockmarket index. Most are major exporters, so the market is not only highly sensitive to the global business cycle, but also to the level of the yen.

A strong currency has been a key reason why the index has struggled of late. Consumer services, technology, basic materials and oil and gas, along with cars and car parts (which form a third of the consumer goods segment), are also economically-sensitive sectors. They are jointly worth over 40% of the index.

Only healthcare and telecoms, along with the rest of the consumer goods sector, are classically defensive.

• See Tim Bennett’s video tutorial: What is an index?



Claim 12 issues of MoneyWeek (plus much more) for just £12!

Let MoneyWeek show you how to profit, whatever the outcome of the upcoming general election.

Start your no-obligation trial today and get up to speed on:

  • The latest shifts in the economy…
  • The ongoing Brexit negotiations…
  • The new tax rules…
  • Trump’s protectionist policies…

Plus lots more.

We’ll show you what it all means for your money.

Plus, the moment you begin your trial, we’ll rush you over THREE free investment reports:

‘How to escape the most hated tax in Britain’: Inheritance tax hits many unsuspecting families. Our report tells how to pass on up to £2m of your money to your family without the taxman getting a look in.

‘How to profit from a Trump presidency’: The election of Donald Trump was a watershed moment for the US economy. This report details the sectors our analysts think will boom from Trump’s premiership, and gives specific investments you can buy to profit.

‘Best shares to watch in 2017’: Includes the transcript from our roundtable panel of investment professionals – and 12 tips they’re currently tipping. The report also analyses key assets, including property, oil and the countries whose stock markets currently offer the most value.