According to Jinshi, as voting begins, the election of the leader of Japan's ruling party has become the focus of US-Japan traders. Analysts at OCBC Bank pointed out that opinion polls show that former Environment Minister Shinjiro Koizumi, Economic Security Minister Sanae Takaichi and former Defense Minister Shigeru Ishiba are the three candidates who may receive the most votes.
Frances Cheung and Christopher Wong said in a report that Sanae Takaichi opposed the Bank of Japan's rate hikes, and caution about her victory could support the dollar against the yen. If the leadership does not support her, the dollar against the yen may fall. OCBC added that the gradual normalization of the Bank of Japan's policy may slow the pace of the decline in the dollar and the yen.