Japan leadership race spurs stock buying, but rule of thumb may change

Political dynamics shift from past rally-inducing LDP presidential elections

20250909N election stocks

The old rule of thumb that LDP presidential elections signal investors to buy in the stock market may be changing now that the party has lost its majority in both houses of the Diet. (Photo by Shintaro Ino)

YOSHIKAZU IMAHORI, AKIRA INUJIMA and JUMPEI KINEFUCHI

TOKYO -- The upcoming election to decide the new leader of Japan's Liberal Democratic Party is prompting buying in the stock market.

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