Japanese stocks have hit a record high after the country’s ruling Liberal Democratic Party (LDP) named Sanae Takaichi as its new leader, positioning the pro-business politician to be Japan’s next prime minister.
The benchmark Nikkei 225 index closed 4.75% higher on Monday, ending the day above 47,000 for the first time.
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.
She is also a long-time admirer of former UK prime minister Margaret Thatcher and her free market approach to economics.
Investors welcomed the announcement of her victory in the LDP leadership race, with shares rising in real estate, technology and heavy industry companies.
While the Japanese stocks rose, the yen hit a record low against the euro and dropped by 1.7% against the US dollar.
Monday’s market response was largely a…
