TOKYO -- Financial markets are keeping a close eye on the leadership race inside Japan's ruling Liberal Democratic Party, with analysts trying to predict what each candidate would mean for stocks, bonds and the foreign exchange rate.
Japan leadership race
Japan financial markets weigh impact of LDP leadership race
Koizumi seen buoying yen, while Takaichi would provide potential tailwind for stocks
Agriculture Minister Shinjiro Koizumi, left, is seen as more likely to improve Japan's public finances, while former Economic Security Minister Sanae Takaichi, center, favors expansionary fiscal policy. Analysts expect a muted market reaction if Chief Cabinet Secretary Yoshimasa Hayashi, right, wins. (Source photos by Ken Suzuki, Uichiro Kasai)
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