Tokyo’s benchmark stock index has plunged in early trading on Monday. The drop follows Friday’s election for the leadership of Japan’s main ruling Liberal Democratic Party.
The Nikkei 225 fell sharply from the start of trading on the Tokyo Stock Exchange.
The index sank more than 1,800 points from Friday’s close.
Analysts say investors are changing their bets in the wake of the election outcome.
The yen had weakened against the dollar and share prices had surged when Takaichi Sanae advanced to a runoff vote in the LDP race. Takaichi had taken a cautious stance toward raising interest rates.
Markets are now waiting for more information on Ishiba Shigeru’s economic policies now that he has won the vote for party president.