{"id":192744,"date":"2025-10-06T05:02:10","date_gmt":"2025-10-06T05:02:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/192744\/"},"modified":"2025-10-06T05:02:10","modified_gmt":"2025-10-06T05:02:10","slug":"japan-stocks-hit-record-after-ruling-party-names-pro-business-leader","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/192744\/","title":{"rendered":"Japan stocks hit record after ruling party names pro-business leader"},"content":{"rendered":"

Japanese stocks have hit a record high after the country’s ruling Liberal Democratic Party (LDP) named Sanae Takaichi as its new leader<\/a>, positioning the pro-business politician to be Japan’s next prime minister.<\/p>\n

The benchmark Nikkei 225 index was up by around 4.5% on Monday afternoon in Tokyo, after rising above 47,000 for the first time.<\/p>\n

Takaichi, who has held senior government roles including minister for economic security and internal affairs, is known for her support of higher government spending and lower borrowing costs.<\/p>\n

She is also a long-time admirer of former UK prime minister Margaret Thatcher and her free market approach to economics.<\/p>\n

Investors welcomed the announcement of her victory in the LDP leadership race, with shares rising in real estate, technology and heavy industry companies.<\/p>\n

While the Japanese stocks rose, the yen hit a record low against the euro and dropped by 1.7% against the US dollar.<\/p>\n

Monday’s market response was largely a “knee-jerk reaction” to the potential appointment of Takaichi as prime minister, Japan economist Jesper Koll told the BBC.<\/p>\n

While her policy proposals to stimulate the economy through increased government spending could benefit businesses, they may further weaken the yen as Japan’s debt rises, said Mr Koll.<\/p>\n

If confirmed later this month as the successor to Shigeru Ishiba, Takaichi will be Japan’s first female prime minister.<\/p>\n

Mentored by late Prime Minster Shinzo Abe<\/a>, she has championed his economic vision – known as Abenomics<\/a> – of high public spending and cheap borrowing.<\/p>\n

If confirmed in the role, Takaichi will have to navigate a challenging US-Japan relationship and see through a tariff deal with US President Donald Trump’s administration, which was previously agreed by the Ishiba government<\/a>.<\/p>\n

She would also have to contend with a sluggish economy and households grappling with higher costs<\/a> and slow wage growth.<\/p>\n

With Trump expected to visit Japan later this month, Mr Koll said Takaichi will be eager to negotiate a new agreement with the US president “to get the dollar down and to get the yen up.”<\/p>\n","protected":false},"excerpt":{"rendered":"Japanese stocks have hit a record high after the country’s ruling Liberal Democratic Party (LDP) named Sanae Takaichi…\n","protected":false},"author":2,"featured_media":192745,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[43,44,41,39,42,40],"class_list":["post-192744","post","type-post","status-publish","format-standard","has-post-thumbnail","category-headlines","tag-headlines","tag-news","tag-top-news","tag-top-stories","tag-topnews","tag-topstories"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/192744","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=192744"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/192744\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/192745"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=192744"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=192744"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=192744"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}