Japan’s Nikkei 225 stock index rose by 4.7% after Prime Minister Sanae Takaichi’s ruling party achieved a two-thirds supermajority in the recent parliamentary election. This strong electoral result is anticipated to support the continuation of market-friendly economic policies.
Speaking to public broadcaster NHK, Prime Minister Takaichi indicated her commitment to advancing policies aimed at economic growth and stability.
**Why this matters**
A supermajority in parliament gives the ruling party greater control over legislative decisions, enabling smoother implementation of economic reforms. Investors often respond positively to political stability and clear policy direction, which can lead to increased market confidence and investment.
Source: NewsData