Japan, Ishiba and Upper House
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Japan, Ishiba and Trade Deal
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The Sanseito party tapped into discontent over issues galvanizing voters worldwide: inflation, immigration and a political class dismissed as out of touch.
Progress in relations between China and Japan could lose some steam if embattled Japanese Prime Minister Shigeru Ishiba steps down following a crushing electoral loss. Ishiba, leader of the Liberal Democratic Party (LDP), has come under intense pressure since the ruling coalition’s defeat in upper house elections on Sunday.
A fringe far-right populist party in Japan was one of the biggest winners in the weekend’s upper house election
Japan's election outcome may put the central bank in a double bind as prospects of big spending could keep inflation elevated while potentially prolonged political paralysis and a global trade war provide compelling reasons to go slow on rate hikes.