JPX Market Innovation & Research (JPXI) and Nikkei commenced calculation and publication of two new commodity-linked benchmarks on Wednesay: the Nikkei-JPX Double Inverse Gold Index and the Nikkei-JPX Double Inverse Crude Oil Index.
The indices are designed to deliver twice the inverse daily return of their underlying benchmarks, the Nikkei-JPX Gold Index and Nikkei-JPX Crude Oil Index. If the base gold index falls 1% on a given day, the Double Inverse Gold Index rises 2%. Both carry a base value of 10,000 points.
The launch adds to JPXI’s commodity index lineup. Leveraged (2x) and single inverse (-1x) versions of both gold and crude oil indices have been calculated since December 3, 2012, supporting exchange-traded notes that launched in April 2013. The Double Inverse variants now offer the highest level of bear-market exposure in the series.
Nomura’s NEXT NOTES brand currently operates four related products: the Gold Futures Double Bull ETN (2036), Gold Futures Bear ETN (2037), Dubai Crude Oil Futures Double Bull ETN (2038) and Dubai Crude Oil Futures Bear ETN (2039). The new indices are structured so they could underlie potential Double Inverse ETNs.
How the new indices work
The indices apply a -2x multiplier to the daily percentage change of their respective base indices, with rebalancing performed each day. This daily reset mechanism means cumulative returns over periods longer than one day will not equal -2 times the base index’s total return, due to compounding effects.
In volatile or sideways markets, this can produce “volatility decay,” where the index value erodes even if the underlying commodity price remains flat over time. These indices are generally used for short-term tactical positioning by traders.
Recent market movements provide context for the launch. The Nikkei 225 reached an all-time high of 54,499 earlier this month, closing at 53,359 today, having rallied 36% over the past 12 months. Gold prices in yen terms hit record levels through 2024 and 2025, driven by both global bullion strength and yen weakness.
A sharply strengthening yen, up 4% over recent sessions, has begun weighing on export-oriented stocks and affecting yen-denominated commodity valuations.
The new indices form part of JPXI’s ongoing expansion of its Strategy Index lineup. The TOPIX High Dividend Growth Index launched on January 26, with the JPX Start-Up Acceleration 100 Index scheduled for March 2026.
