Japan opposition parties -- CDP and Komeito -- have started talks on forming a new party, according to Asahi

Japan opposition parties -- CDP and Komeito -- have started talks on forming a new party, according to Asahi.

The discussions among Japan's opposition parties, particularly between the Constitutional Democratic Party (CDP) and Komeito, signal a potential shift in the political landscape that could impact legislative dynamics. If successful, this consolidation could strengthen opposition forces against the ruling coalition, which may lead to increased uncertainty in policy direction and economic strategies, hence affecting market sentiment toward Japanese equities and the yen.