STOCKS | Japanese Export Shares Rally After Democrats Win Both Chambers, Toyota Surges More Than 15%

Japanese export stocks rallied broadly on November 5, led by automakers, after Democrats won control of both chambers of the U.S. Congress in the midterm elections. According to Sina Finance, Toyota shares rose as much as 15.5% after the Japanese market opened, Honda gained more than 7%, Sony rose about 7%, and Nintendo advanced 5%; industrial and machinery stocks also strengthened. The TOPIX rose as much as 2.4% intraday, outperforming the Nikkei 225, which was weighed down by falling technology shares. Investors bet that Democratic control of Congress could constrain U.S. President Donald Trump’s ability to advance tariff measures, reducing trade-policy uncertainty for Japanese automakers and industrial manufacturers. International oil prices fell after the election results were announced, easing pressure from energy costs and inflation; a weaker dollar and lower U.S. Treasury yields also supported share prices.