ISTANBUL

Asian stock markets are in a positive trend as expectations that trade tensions between the US and China will ease boost risk appetite, and Sanae Takaichi, the leader of the Liberal Democratic Party (LDP), was elected as the first female Japanese prime minister.

In Japan, Sanae Takaichi was elected as the country's prime minister with 237 votes in parliament.

She is expected to oppose interest rate hikes by the Bank of Japan (BoJ) and show a tendency in favor of more fiscal stimulus despite the country's debt problems.

After her election win, the Japanese Nikkei stock index ended at an all-time high.

Meanwhile, risk appetite in global markets remains high as concerns over the trade war between the US and China ease.

Attention has turned to the talks the US and China plan to hold in South Korea amid trade tensions between the two countries, which have caused risk perceptions in the markets to rise in recent weeks.

US President Donald Trump said on Monday that he believes they will reach a “very fair” agreement and make a strong trade deal with Chinese President Xi Jinping at their planned meeting in South Korea.

With these developments, Japan's Nikkei 225 index rose 0.15% to close at a record high of 49,261 points, while South Korea's Kospi index ended the day up 0.24% at 3,823.8 points.

Currently, China's Shanghai Composite Index is trading at 3,916 points, up 1.4%, while Hong Kong's Hang Seng Index is trading at 26,181 points, up 1.3%.

India's Sensex Index is also trading at 84,363 points, up 0.5% from its previous close.