Japanese stocks drew massive cross-border investments last week, driven by expectations Liberal Democratic Party (LDP) leader and fiscal dove Sanae Takaichi would become the country's next prime minister, stoking bets on a revival in big spending. Foreigners pumped a net 1.89 trillion yen ($12.59 billion) into Japanese stocks in the week to October 11, after a record 2.48 trillion yen net purchase the prior week, data from Japan's Ministry of Finance showed on Friday.

After winning the race to lead the ruling LDP, Takaichi seemed all but certain to become Japan's first woman premier until the party's junior partner, Komeito, quit their 26-year coalition last Friday. However, her chances of becoming the next PM improved this week as the Japan Innovation Party emerged as a possible coalitio

See Full Page