TOKYO: Tokyo stocks closed lower on Thursday, with investors increasingly cautious ahead of Japan’s earnings season and also eyeing key US economic data due this week.

The benchmark Nikkei 225 index was down 0.12 percent, or 32.26 points, at 27,362.75 at the close, while the broader Topix index lost 0.12 percent, or 2.29 points, to 1,978.40.

“A wait-and-see attitude is likely to grow ahead of corporate earnings season,” Mizuho Securities said.

The dollar traded at 129.32 yen, down from 129.57 yen in New York and 130.41 yen in Tokyo on Wednesday.

US shares ended mixed overnight with the blue-chip Dow Jones Industrial Average rising less than 0.1 percent while the tech-rich Nasdaq index falling 0.2 percent. The S&P 500 Index shed less than 0.1 percent.

Looking ahead, traders will examine US economic data including GDP figures Thursday, and the Federal Reserve’s preferred gauge of inflation on Friday.

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“All roads lead to Friday, when we get a new PCE inflation report – a key indicator for Fed funds policy and still the essential factor for the risk market despite the recent pivot to growth,” Stephen Innes of SPI Asset Management said.

Sony Group dropped 1.29 percent to 11,515 yen, shipping firm Mitsui O.S.K. Lines sank 3.24 percent to 3,285 yen, and chip-testing equipment maker Advantest lost 2.24 percent to 9,620 yen.

Automakers were mixed, with Toyota losing 0.63 percent to 1,893 yen and Honda slipping 0.29 percent to 3,138 yen, while Nissan advanced 1.28 percent to 450.1 yen.

Panasonic added 2.22 percent to 1,197.5 yen and SoftBank Group edged up 0.24 percent to 6,198 yen.