Prime Minister Sanae Takaichi said she cannot predict whether the sharp fall in the Nikkei average will prove temporary or last a while, as a plunge in futures dominated questioning in the Diet.
A Democratic Party for the People lawmaker, Tanaka, told the chamber that the market had moved violently since the morning and that futures had dropped below 57,000 yen, a fall of 10%. He asked Takaichi to consider the situation and give her view.
“Whether this ends as something temporary or continues for a while, I cannot predict. I believe countries around the world are being affected, but this is something decided by the market, so I will not comment in particular.”Sanae Takaichi, prime minister
Takaichi said she recognized that AI-related shares and semiconductors in particular had fallen considerably. To strengthen the Japanese economy, she said she wants to build a shape in which Japan's strong fields grow.
The exchange came as investors weigh the new government's tax-cut agenda, which it has cast as a route to growth. Takaichi did not link the fall to policy in her answer, saying only that she would watch the situation.