Prime Minister Sanae Takaichi’s Liberal Democratic Party secured a historic supermajority in the February 2026 general election after dissolving the lower house earlier that year, leaving the ruling coalition with over two-thirds of seats and no immediate need for another vote. The subsequent collapse of the main opposition Centrist Reform Alliance has further fragmented resistance, reducing pressure for early dissolution of the National Diet. With the lower house term running until 2030 absent a snap election and no scheduled votes or major crises forcing action before year-end, trader consensus reflects this stable power balance. Late-year developments such as a sudden scandal, sharp drop in approval ratings, or unforeseen legislative deadlock could still prompt reconsideration, though such triggers remain remote given current conditions.