Yen slide deepens as Takaichi triumph in Japan election paves the way for more stimulus

The yen fell further in early Asian trading on Monday. This followed Prime Minister Sanae Takaichi’s decisive win in Sunday’s election. Her victory clears the way for more fiscal stimulus. Traders expect increased government spending to weaken the currency. As a result, the yen’s recent losses have extended. Meanwhile, investors watch for any impact on Japan’s economic outlook. The government’s planned stimulus aims to support growth. However, this often puts downward pressure on the yen. Therefore, market participants remain cautious about the currency’s near-term moves. The election result also influences broader market sentiment in the region.