<span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Bangkok: Japan&rsquo;s Nikkei stock index jumped nearly 5% on Monday and the yen weakened after its ruling party chose an ultra-conservative as its leader and likely first woman prime minister. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Other Asian markets also were mostly higher. US futures climbed and oil gained about $1 a barrel. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">The Liberal Democrats elected Sanae Takaichi, an ally of the late Prime Minister Shinzo Abe, as their leader, likely ensuring she will carry on with his market-friendly policies. Takaichi, 64, admires former British Prime Minister Margaret Thatcher and backed Abe&rsquo;s ultra-conservative vision for the country. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">She is likely to become prime minister because the LDP has the most seats in the lower house, although not a majority. It chooses the prime minister, and opposition groups are splintered. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Takaichi faces a host of challenges that have bedeviled her predecessors, BMI of Fitch Solutions said in a commentary. That includes &ldquo;boosting Japan&rsquo;s economic competitiveness and strengthening the country&rsquo;s technological and industrial base and adopting measures to mitigate the impact of Japan&rsquo;s ageing and declining population amid a colossal public debt burden.&rdquo; <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Still investors, especially non-Japanese ones, were pleased, said Neil Newman, head of strategy at Astris Advisory Japan. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">&ldquo;Obviously investors like what she has been saying and certainly today judging by the number of stocks that moved and which stocks moved, it seems like pretty much led by foreigners so far,&quot; Newman said. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">An unconfirmed report that US President Donald Trump might be considering ways to reduce the cost of his higher tariffs on auto parts and other materials for US manufacturers helped automakers&#39; share prices. Toyota Motor Corp.&#39;s shares jumped 4.9% in Tokyo and Honda Motor Co. gained 4.7%. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">The Nikkei 225 index rose 4.7% to 47,924.52 by mid-afternoon Monday, while Hong Kong&#39;s Hang Seng index sank 0.6% to 26,976.37. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">The yen weakened against the US dollar, on expectations that Takaichi will boost spending, likely adding to inflationary pressures. The dollar rose to 150.31 Japanese yen from 149.33 yen. The euro slipped to $1.1723 from $1.1730. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">In Australia, the S&amp;P/ASX 200 shed 0.1% to 8,976.70.<span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Markets in mainland China, Taiwan and South Korea were closed for holidays. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">On Friday, most US stocks ticked higher, adding to Wall Street records.<span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">The S&amp;P 500 edged up by less than 0.1% to close out its seventh winning week in the last nine, ending at 6,715.79. The Dow Jones Industrial Average climbed 0.5% to 46,758.28. Both added to their all-time highs set the day before. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">The Nasdaq composite lost an early gain and slipped 0.3% from its own record, to 22,780.51. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Usually, the first Friday of each month has Wall Street transfixed on the monthly jobs update that the US government publishes. It shows how many jobs employers created and destroyed, while also updating the unemployment rate. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">But the shutdown of the US government, now in its third day, delayed the release of that data. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Such information is particularly important now, given how much on Wall Street is riding on the expectation that the job market is continuing to slow by enough to get the Federal Reserve to keep cutting interest rates. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Past shutdowns of the US government have tended not to hurt the economy or stock market much, and the thinking is that this one could be similar, even if President Donald Trump has threatened large-scale firings of federal workers this time around. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">Reports came in mixed on activity for US businesses in the health care, real estate and other services industries. One from the Institute for Supply Management said growth is stalling, while another from S&amp;P Global said it&rsquo;s still growing slowly. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">In other dealings early Monday, US benchmark crude oil gained 99 cents to $61.87 per barrel. Brent crude, the international standard, added 99 cents to $65.52 per barrel. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">A group of countries that are part of the OPEC+ alliance of oil-exporting countries agreed during the weekend to a small boost in oil production, citing a steady global economic outlook. That alleviated fears of an oversupply. <span style="font-size: 18px; font-family: Arial, Helvetica, sans-serif; color: rgb(0, 0, 0); background-color: transparent; font-weight: 400; font-style: normal; font-variant: normal; text-decoration: none; vertical-align: baseline; white-space: pre-wrap;">The group said after a virtual meeting on Sunday that it will raise oil production by 137,000 barrels per day in November, the same amount it announced for October. The group has been raising output slightly in a series of boosts all year, after announcing cuts in 2023 and 2024.

People walk by an electronic stock board showing Japan's Nikkei 225 index at a securities firm in Tokyo, Monday, Oct. 6, 2025. (Kyodo News via AP)

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Japan’s Nikkei stock index jumped nearly 5% on Monday and the yen weakened after its ruling party chose an ultra-conservative as its leader and likely first woman prime minister.

Japan’s Nikkei jumps 5% after ruling party elects Takaichi leader

TOKYO: Asian shares traded mostly higher Monday, cheered by a record finish last week on Wall Street.&nbsp;Japan&#39;s benchmark Nikkei 225 jumped 1.5% in morning trading to 45,729.33, rebounding from the decline late last week over concerns about the Bank of Japan&#39;s selling its holdings. Such concerns abated as markets began to see any move as gradual.&nbsp;Australia&#39;s S&amp;P/ASX 200 rose 0.4% to 8,811.10. South Korea&#39;s Kospi gained 0.8% to 3,472.82. Hong Kong&#39;s Hang Seng slipped 0.9% to 26,306.60, while the Shanghai Composite was little changed, inching up less than 0.1% to 3,821.83.&nbsp;The S&amp;P 500 rose 0.5% to close out its sixth winning week in the last seven. The Dow Jones Industrial Average added 172 points, or 0.4%, and the Nasdaq composite climbed 0.7%. All three hit all-time highs for a second straight day.&nbsp;The S&amp;P 500 rose 32.40 points to 6,664.36. The Dow Jones Industrial Average added 172.85 to 46,315.27, and the Nasdaq composite climbed 160.75 to 22,631.48.&nbsp;The rally has come on the back of expectations that the Federal Reserve will continue to cut interest rates in order to give the economy a boost. The central bank lowered them for the first time this year last Wednesday.&nbsp;If the Fed keeps cutting interest rates, that could give the struggling housing market a boost. But the growing expectations mean the market could be in for a disappointment and drop sharply if the Fed does not cut as much as traders expect.&nbsp;Fed officials have said more rate cuts are likely this year and next. Fed Chair Jerome Powell said last week that the central bank may have to react quickly because inflation is remaining stubbornly high in the American economy while the job market is slowing, all the while as President Donald Trump&rsquo;s tariffs threaten to push inflation higher.&nbsp;&ldquo;Every time the market seems to be running out of momentum, it fools most of us by pushing to higher heights,&rdquo; said Jay Woods, chief market strategist at Freedom Capital Markets.&nbsp;&ldquo;As traders continue to monitor new highs daily, they are really focused on what Fed officials will have to say as they make the speaking rounds this week.&rdquo;&nbsp;In the bond market, Treasury yields ended last week being relatively steady. The yield on the 10-year Treasury edged up to 4.12% last Friday from 4.11% late Thursday.&nbsp;In energy trading, benchmark U.S. crude rose 34 cents to $63.02 a barrel. Brent crude, the international standard, added 40 cents to $67.08 a barrel.&nbsp;In currency trading, the U.S. dollar rose to 148.31 Japanese yen from 147.91 yen. The euro cost $1.1733, down from $1.1745.

A man walks on Wall St. outside the NYSE in New York

Shares rise on Fed rate cut hopes; Nikkei jumps 1.5%, while oil and U.S. yields edge higher.

Articles tagged with "Nikkei"

Japan’s Nikkei jumps 5% after ruling party elects Takaichi leader

Asian shares are mostly higher after Wall Street's record week