Financial markets applaud Japan PM's landslide election victory

Tokyo

IN GENERALLY positive market reaction on Monday to the landslide upper house election victory won the previous day by Japanese Prime Minister Shinzo Abe's ruling coalition, Tokyo stock prices leapt by 4 per cent in value while the yen eased back from its recent economy-damaging highs.

The moves came after it was confirmed in the early hours of Monday that Mr Abe's controlling Liberal Democratic Party and its main coalition partner the Komeito Party had secured a two-thirds "super majority" in the upper house of parliament, matching the control they already have over the lower house.

This major victory provided the ruling coalition with the power, in theory, to launch a national referendum on amending Japan's post-war pacifist…