And he went up Nikkei indicator 1.93 percent to close at 38,651.97 points, after falling about five percent in the previous session. The broader Topix index also rose 1.69 percent to 2,690.78 points.
Shares of heavy machinery manufacturing companies recorded the largest gains on the Nikkei index, as Kawasaki Heavy Industries shares jumped 8.3 percent, while Mitsubishi Heavy Industries shares and IHI shares rose 7.84 percent and 7.35 percent, respectively.
The Japanese Parliament elected Ishiba as Prime Minister, and is scheduled to reveal the formation of his government later today.
Takeshi Iwaya, a close ally of Ishiba, is expected to take over as foreign minister, and Jin Nakatani will return to the position of defense minister.
“The market expected stocks to benefit,” said Tomoshika Kitaoka, chief equity strategist at Nomura Securities Companies Defense-related expectations followed the key members of the new government.”
Shares of export companies also rose amid the weakness of the yen. The dollar rose after the Chairman of the Reserve Board refused Federal (US Central Bank) Jerome Powell last night bet on more significant interest rate cuts.
Toyota Motor shares rose 2.1 percent and Honda Motor shares rose 2.29 percent.
A weak yen would favor the shares of exporting companies because it increases the value of profits coming from abroad when companies return these profits to Japan Palin.
Shares of chip-related companies rose, with Tokyo Electron shares and Advantest shares rising 2.97 percent and 2.21 percent, respectively.
