Japan's Nikkei hits record high on pro-growth leadership expectations

Business Oct 07, 2025

Japan's Nikkei 225 index surged nearly 5% on Monday, breaking past 48,000 for the first time ever.
The jump followed Sanae Takaichi's election as leader of the ruling Liberal Democratic Party (LDP), putting her in line to become Prime Minister.
Investors are upbeat about her pro-growth approach and the Bank of Japan's supportive stance.

Buying frenzy in Tokyo stocks

Takaichi's win sparked a buying frenzy in Tokyo stocks, especially among tech exporters and defense companies—Kawasaki Heavy rose 12%, Mitsubishi Heavy soared 13%.
The yen slid against major currencies as markets expect more government spending ahead.
While Japanese shares rallied, not everyone joined in—Hong Kong's Hang Seng was closed for a holiday, showing mixed vibes across Asia.