Tokyo’s Historical Surge: Nikkei Hits All-Time High Following Takaichi’s Landslide Victory; Yen Volatility Sparks Intervention Fears

Japan’s stock markets witnessed a historic rally on Monday, February 9, 2026, with the Nikkei 225 soaring 3.9% to close at a staggering record high of 56,363.94. Investors responded with euphoria to Prime Minister Sanae Takaichi’s overwhelming election victory, securing 316 seats in the House of Representatives. This "super-majority" provides Takaichi a clear mandate to unleash her proactive fiscal policy, centered on massive stimulus and tax cuts to revitalize the Japanese economy.

The currency market, however, told a more turbulent story. The Yen initially plummeted to an all-time low against the Swiss Franc before rebounding sharply following a stern warning from top currency diplomat Atsushi Mimura. While markets embrace Takaichi’s growth vision, the specter of Japan’s debt—the highest in the developed world—remains a lingering concern. For now, the "Takaichi Trade" dominates, signaling a bold new chapter for the Land of the Rising Sun.