Japan's ruling LDP will sign a coalition deal later Monday, its new partner party said, paving the way for Sanae Takaichi to become the country's first woman premier and lifting the Nikkei to a new record.

The 11th-hour announcement by the Japan Innovation Party (JIP) came just a day before the lower house was due to vote on Takaichi's appointment as the fifth prime minister in as many years.

"After giving it careful thought last night, I telephoned (LDP) president Takaichi this morning to reach a coalition agreement," said Hirofumi Yoshimura, JIP co-head.

"At 6:00 pm, we will formally sign the agreement," he told reporters.

Takaichi, 64, seen as a China hawk and traditionalist from the right wing of the ruling Liberal Democratic Party (LDP), won the party leadership this month.

But h

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