(Changes slug to JAPAN-MARKETS, recasts with moves in yen,

JGBs)

By Rocky Swift

TOKYO, Feb 12 (Reuters) - The Nikkei share average broke

past 58,000 for the first time on Thursday, joined in a rare

triple rally with government bonds (JGBs) and the yen as markets

processed the ​fallout of Prime Minister Sanae Takaichi's

historic election win.

The benchmark ‌Nikkei 225 Index rose 0.3% to 57,816.14,

after reaching as high as 58,015.08 earlier in the day, as

trading resumed after ⁠a holiday. So far in 2026, the Nikkei has

surged about 15%. The broader ⁠Topix climbed 0.7%

to 3,880.48.

The earnings season is underway in the world's

fourth-largest ‌economy, and domestic ‌share markets have been

buoyed by bets that a decisive showing by Takaichi's Liberal

Democratic Party in Sunday's national election will ​enable her

to push through spending and tax-relief ‌measures.

Since Takaichi began her ascent to become Japan's first female

premier in October, the "Takaichi trade" has pushed domestic

shares to successive record highs while spurring declines ​in

JGBs and the yen. Takaichi reiterated on ​Monday that ‌she was

committed to "responsible, proactive fiscal policy."

"Following recent strong earnings results and the LDP's

landslide victory under the Takaichi administration, the market

has been on a significant upward ⁠trend," Wataru Akiyama, a

strategist at Nomura Securities, said about domestic

shares. "The sense of overheating ⁠seems to be intensifying, so

profit-taking movements could emerge from here on."

Takaichi is sensitive to how markets react to her decisions,

particularly yen and JGB yield moves, two sources told Reuters.

The yen rallied on Thursday after top currency diplomat Atsushi

Mimura issued a fresh warning against ⁠currency volatility, ‌and

mentioned speculation about rate checks, a typical precursor to

actual market intervention.

Long-dated ‌securities led a rally in JGBs on Thursday, while

the yen touched a two-week high ⁠of 152.28 per dollar.

The yen's surprising strength has sprung out of Takaichi's

ability to secure a solid majority in the lower house and end

concerns about political instability that had lingered since

July last year, said Hirofumi Suzuki, chief foreign-exchange

strategist at SMBC.

"This suggests that short positions in the yen have been

unwound," Suzuki added.

There were 150 advancers on the Nikkei index against 74

decliners. Honda Motor ( HMC ) was among the ​bigger losers,

slumping 3.3% after the automaker posted a 61% drop in

third-quarter profit after market hours on Tuesday.

Results from SoftBank Group after the bell on

Thursday will be closely watched for ​details on how it will fund

its ‌massive investments in AI.