Yen Drops As Takaichi Elected Japan PM
Japan’s yen weakened following the election of Sanae Takaichi as prime minister, with traders pointing to expectations of more government spending and uncertainty over monetary policy.
First Female Prime Minister
Takaichi, a conservative lawmaker, became Japan’s first female prime minister on October 21, 2025. Her leadership is expected to emphasize fiscal expansion while keeping monetary conditions loose.
Market Reaction
The yen slipped about 0.4% to around ¥151.38 per U.S. dollar in early trading. Analysts said markets viewed her election as a signal of possible fiscal stimulus, which could weigh on the currency.
Dollar Strengthens
The U.S. dollar firmed against the yen, with traders closely watching for the Bank of Japan’s stance on interest rates and any policy changes in the coming weeks.
