SINGAPORE (Reuters) -Japanese shares surged to record highs on Monday, while the yen sank after fiscal dove Sanae Takaichi was elected to lead the ruling party and become the next prime minister.

Takaichi’s victory has raised chances that the Bank of Japan will avoid lifting interest rates this month, though the pause may not last if it batters the yen.

The Nikkei surged past the 47,000 level for the first time, while the yen weakened over 1.5% to hover near the psychologically important 150 per U.S. dollar.

Here are some comments from investors and analysts:

ANINDA MITRA, HEAD OF ASIA MACRO STRATEGY, BNY INVESTMENT INSTITUTE, SINGAPORE:

“The uncertainty around fiscal objectives and an uptick in the odds of dominance over monetary policy are likely to result in more pain for the yen.

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