Overview
- Parliament elected Sanae Takaichi prime minister, with the Liberal Democratic Party governing alongside the Japan Innovation Party in a minority arrangement.
- The Nikkei closed at a record 49,316 after nearing 50,000 intraday, then slipped about 0.5% on Wednesday as traders booked profits.
- The yen fell to roughly ¥151–152 per dollar following her election, while Japanese government bond yields moved only slightly.
- Investors are pricing the so‑called Takaichi trade that favors equities and a softer yen, though minority status could limit large-scale fiscal stimulus.
- Broadcaster FNN reported Takaichi plans to appoint Satsuki Katayama as finance minister, a pending choice seen as a guide to the policy mix.