TOKYO: Tokyo shares closed lower on Monday after falls on Wall Street, where investors shrugged off mostly solid bank earnings, and worries persisted over bond yields and recession risks.
The benchmark Nikkei 225 index fell 1.16 percent, or 314.97 points, to end at 26,775.79, while the broader Topix index lost 0.98 percent, or 18.63 points, to 1,879.56.
Analysts said Tokyo shares dropped because traders were discouraged by losses of US stocks.
The dollar fetched 148.75 yen in Asian trade, against 148.72 yen in New York late Friday.
“The yen is hovering near a 32-year low… as Japanese officials again pledged ‘bold action’ against speculative-driven moves,” said Stephen Innes of SPI Asset Management.
Japan’s currency on Thursday hit its lowest level since 1990 following US inflation data that indicated more aggressive interest-rate hikes from the Federal Reserve.
Japanese officials have regularly signalled concerns about the rapid fluctuations of yen and warned they are ready to take action, but it remains unclear if a second intervention to prop up the currency is on the cards.
In September, the finance ministry spent 2.8 trillion yen in an effort to support the yen.
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In Tokyo trading, drug makers closed lower with Daiichi Sankyo plunging 3.29 percent to 4,257 yen.
Astellas dropped 1.37 percent to 1,976.5 yen while Takeda Pharmaceutical shed 0.28 percent to 3,817 yen.
Uniqlo operator Fast Retailing lost 1.27 percent to 84,200 yen while SoftBank Group fell 1.78 percent to 5,549 yen.
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