Sanae Takaichi, the newly-elected head of Japan's ruling Liberal Democratic Party, held talks about a possible coalition with leaders of the right-leaning Innovation Party on Thursday, in a bid to clinch a prime ministerial vote expected next week. The Nikkei share average rose as prospects appeared to brighten for Takaichi to become Japan's first woman premier, stoking bets on a revival in big spending and loose monetary policy.

Takaichi's path to succeed Prime Minister Shigeru Ishiba had seemed all but certain until the LDP's junior partner, Komeito, quit their 26-year coalition last week, setting off a flurry of negotiations with rival parties to select the next premier. "We've made significant progress in aligning our values," said Fumitake Fujita, co-head of the Innovation Party, fol

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