Japan Prime Minister Ishiba out in 2025?
Can the markets decipher Japan's consensus politics?
Japan’s PM on the Ropes
Today’s market takes us to Japan, where Prime Minister Shigeru Ishiba is trying to hold on to power while delivering on tariff negotiations with the U.S.
The Liberal Democratic Party’s (LDP) once-iron grip on power is gone. Ishiba, who took over as prime minister in September 2024, is facing both opposition calls for resignation and internal party dissent. Breaking news, plunging approval ratings, and deep party infighting set the stage for a year where anything can happen.
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LDP’s Collapse Triggers Survival Mode
Political fortunes in Japan flipped fast. After a decade of tight LDP control, 2024 and 2025 elections tossed out the old playbook. Ishiba took power after Fumio Kishida resigned in a corruption meltdown. Then, Ishiba’s own gamble - a snap lower house election - backfired, leaving the LDP and their partner Komeito without a lower house majority. This was only the beginning.