Japan's governing party is choosing a new leader Saturday to succeed Ishiba

TOKYO (AP) — Japan's long-governing Liberal Democratic Party will choose a new leader on Saturday to replace Prime Minister Shigeru Ishiba, but the winner must quickly restore political stability and regain public support for the struggling party to stay in power.

Three of the five candidates in Saturday's intraparty vote are seen as the favorites. They include a woman who could become Japan's first female prime minister, the son of a former prime minister and a veteran moderate.

The winner must act quickly to address rising prices if the party is to have any chance of winning back support after election losses to the LDP and its junior partner Komeito in the past year cost their coalition a majority in both houses of parliament.

The new party president is still likely to become prime minister because the LDP still has the most seats in the lower house, which chooses the prime minister, and opposition groups are splintered.

The winner will immediately face a big test — hosting a possible summit with U.S. President Donald Trump. A meeting is reported to be in the works as Trump travels to the Asia-Pacific Economic Cooperation summit in South Korea that starts Oct. 31.

Whoever becomes the LDP leader must also gain cooperation from main opposition parties or risk a cycle of short-lived leadership.

The vote is being held within the LDP — its 295 parliamentarians and 1 million dues-paying grassroots party members. That’s less than 1% of Japan’s eligible voters.

If no one wins a majority in the first vote on Saturday, a runoff will quickly follow between the top two vote-getters.

The lower house will then choose a new prime minister in a leadership vote expected in mid-October. The new LDP leader will need votes from some opposition lawmakers to take office.

All five candidates — two of them are currently in the government and three were in past Cabinets — have emphasized their willingness to work with opposition groups that are more centrist politically.

Surveys have suggested the front-runners are Sanae Takaichi, who could become the first female prime minister, Shinjiro Koizumi, who would be the youngest in more than a century, and Yoshimasa Hayashi, a veteran all-rounder.

Sanae Takaichi, 64, admires former British Prime Minister Margaret Thatcher and is a protégée of former Prime Minister Shinzo Abe. She is a wartime history revisionist and China hawk. She regularly visits Yasukuni Shrine, seen as a symbol of militarism. Takaichi has vowed toughness on immigration, a major issue in the race. Her staunch ultra-conservative stance is considered a major risk to Japan’s relations with Asian neighbors.

Shinjiro Koizumi, 44, is the son of a popular former prime minister, Junichiro Koizumi, and seeks to be the youngest prime minister in Japan’s modern history. As agriculture minister for Ishiba, Koizumi released an emergency rice stockpile to lower prices and stabilize supply as he promoted a reformist stance. Koizumi has made rebuilding his party a priority and pledges to listen to the people’s voices closely to address their concerns, such as rising prices, growing foreign population and public safety.

Yoshimasa Hayashi, 64, is the chief Cabinet secretary in Ishiba’s government. He is a moderate who promises steady wage increases, a strong economy and defense. He also advocates a universal credit system to provide assistance to low-income families for basic goods. Hayashi is a pragmatic, pro-China veteran with a reputation for being capable at damage control. He has also served as foreign, defense and education minister.

Toshimitsu Motegi, 69, has served in key posts including foreign and trade ministers and is known as a tough trade negotiator.

Takayuki Kobayashi, 50. The ultra-conservative former economic security minister promises strong growth, defense and national unity. He calls for tougher restrictions on foreigners.

The new LDP leader and prime minister will need help from either or both of the center-right opposition groups, the Japan Innovation Party, or Ishin, and the Democratic Party for the People, with which the LDP has collaborated on budget bills.

While it's still uncertain, cooperation or even expanding the coalition might contribute to political stability.

Koizumi has approached Ishin and in August visited Osaka Expo, where he was escorted by party leader and Osaka Gov. Hirofumi Yoshimura. Hayashi reportedly met with a senior Ishin lawmaker over dinner recently, while Motegi announced his willingness to form a coalition with the two parties.

Takaichi said the LDP's ongoing coalition with the Komeito is the foundation, but that she is open to cooperation with far-right groups such as the emerging anti-globalist Sanseito.

FILE - From left, Japan's former Economic Security Minister Takayuki Kobayashi, former Foreign Minister Toshimitsu Motegi, chief Cabinet Secretary Yoshimasa Hayashi, former Economic Security Minister Sanae Takaichi and Agriculture Minister Shinjiro Koizumi pose after they delivered speeches at the kick-off of the campaign for the Liberal Democratic Party's presidential election in Tokyo, on Sept. 22, 2025. (Franck Robichon/Pool Photo via AP, File)

FILE - From left, Japan's chief Cabinet Secretary Yoshimasa Hayashi, former Economic Security Minister Sanae Takaichi and Agriculture Minister Shinjiro Koizumi walk into the stage for a joint press conference by the Liberal Democratic Party (LDP) presidential election candidates at the party's headquarters Tuesday, Sept. 23, 2025, in Tokyo. (AP Photo/Eugene Hoshiko, Pool, File)

From left, Japan's former Economic Security Minister Takayuki Kobayashi, former Foreign Minister Toshimitsu Motegi, chief Cabinet Secretary Yoshimasa Hayashi, former Economic Security Minister Sanae Takaichi and Agriculture Minister Shinjiro Koizumi pose after they delivered speeches at the kick-off of the campaign for the Liberal Democratic Party's presidential election in Tokyo, Monday, Sept. 22, 2025. (Franck Robichon/Pool Photo via AP)

Japan's Former Economic Security Minister Takayuki Kobayashi announces his bid to run in the upcoming ruling Liberal Democratic Party's leadership election, at parliament in Tokyo, on Sept. 16, 2025. (Yohei Fukai/Kyodo News via AP)

Japan's former Foreign Minister and former secretary general of the ruling Liberal Democratic Party Toshimitsu Motegi announces his bid to run in the upcoming party's leadership election, at parliament in Tokyo, on Sept. 10, 2025. (Daisuke Suzuki/Kyodo News via AP)

Japan's Chief Cabinet Secretary Yoshimasa Hayashi announces his bid to run in the upcoming ruling Liberal Democratic Party's leadership election, at parliament in Tokyo, on Sept. 18, 2025. (Keisuke Hosojima/Kyodo News via AP)

Japan's Former Economic Security Minister Sanae Takaichi speaks to the media regarding the upcoming upcoming ruling Liberal Democratic Party's leadership election, at parliament in Tokyo, on Sept. 18, 2025. (Yohei Fukai/Kyodo News via AP)

Japan's Agriculture Minister Shinjiro Koizumi, who is the son of former prime minister Junichiro Koizumi, attends a press conference about his running in the ruling Liberal Democratic Party leadership race in Tokyo, Japan, Saturday, Sept. 20, 2025. (Issei Kato/Pool Photo via AP)

TOKYO (AP) — Global shares were mostly higher Tuesday as Japan’s benchmark set another record after a historic election win for the nation’s first female prime minister.

France's CAC 40 edged up 0.2% in early trading to 8,342.16, while Germany's DAX lost nearly 0.2% to 24,977.44. Britain's FTSE 100 slipped 0.5% to 10,339.55. The futures for the S&P 500 and the Dow Jones Industrial Average were up less than 0.1%.

In Asian trading, Japan's benchmark Nikkei 225 jumped 2.3% to finish at 57,650.54, a record close. It jumped 3.9% to a record Monday after the landslide victory for Sanae Takaichi’s political party in Sunday's parliamentary election. Takaichi is expected to push through reforms intended to boost the economy and stock market.

“Japan’s fiscal stance could loosen further because the LDP’s supermajority will enable the new government to implement policies with few obstacles,” Fitch Ratings said in a report following the election, referring to Takaichi's Liberal Democratic Party.

“Policy choices under the new government are likely to focus on tax relief and growth-oriented investment spending, reflecting voter concerns over higher inflation and low income growth,” it said.

Hong Kong’s Hang Seng surged 0.6% to 27,183.15, while the Shanghai Composite added 0.1% to 4,128.37.

Australia's S&P/ASX 200 declined less than 0.1% to 8,867.40. South Korea's Kospi gained less than 0.1% to 5,301.69.

On Monday, the S&P 500 gained 0.5% and the Dow edged up less than 0.1%. The Nasdaq gained 0.9%.

The U.S. government will offer the latest monthly update on the health of the job market on Wednesday. Friday will bring the latest monthly reading of inflation at the consumer level.

Either report could sway expectations for what the Federal Reserve will do with interest rates. The Fed has put its cuts to interest rates on hold, but a weakening of the job market could push it to resume more quickly.

Too-hot inflation could keep it on hold for longer. One of the reasons the U.S. stock market remains close to records is the expectation that the Fed will continue cutting interest rates.

In other dealings early Tuesday, benchmark U.S. crude added 5 cents to $64.41 a barrel. Brent crude, the international standard, advanced 22 cents to $69.26 a barrel.

The U.S. dollar edged down to 155.55 Japanese yen from 155.88 yen. The euro cost $1.1902, down from $1.1918.

Yuri Kageyama is on Threads: https://www.threads.com/@yurikageyama

Specialist Anthony Matesic works at his post on the floor of the New York Stock Exchange, Friday, Feb. 6, 2026. (AP Photo/Richard Drew)

Currency traders watch monitors near a screen showing the Korea Composite Stock Price Index (KOSPI), top center, and the foreign exchange rate between U.S. dollar and South Korean won, top center left, at the foreign exchange dealing room of the Hana Bank headquarters in Seoul, South Korea, Tuesday, Feb. 10, 2026. (AP Photo/Ahn Young-joon)

Currency traders work near a screen showing the Korea Composite Stock Price Index (KOSPI), top right, and the foreign exchange rate between U.S. dollar and South Korean won at the foreign exchange dealing room of the Hana Bank headquarters in Seoul, South Korea, Tuesday, Feb. 10, 2026. (AP Photo/Ahn Young-joon)

A person walks in front of an electronic stock board showing Japan's Nikkei index at a securities firm Monday, Feb. 9, 2026, in Tokyo. (AP Photo/Eugene Hoshiko)

Currency traders work near a screen showing the Korea Composite Stock Price Index (KOSPI), top center, and the foreign exchange rate between U.S. dollar and South Korean won, top left, at the foreign exchange dealing room of the Hana Bank headquarters in Seoul, South Korea, Tuesday, Feb. 10, 2026. (AP Photo/Ahn Young-joon)