Japan's Nikkei ends lower as higher yields, inflation fears weigh
EWJ•Japan's Nikkei fell 1.3% to 64,075.42, while the Topix slipped 1.43% to 4,009.21 as technology stocks fell and investors weighed rising bond yields and inflation concerns.
1. Indexes close lower
Japan's Nikkei share average fell 1.3% to 64,075.42 on Tuesday, and the broader Topix lost 1.43% to 4,009.21. Technology stocks dragged on the market as investors weighed rising bond yields and persistent inflation concerns.
2. Technology stocks fall
SoftBank Group fell 6%, the biggest drag on the Nikkei. Fujikura dropped 6.47%, Furukawa Electric lost 5.9%, and Advantest ended down 1.68%. Fast Retailing rose 2.04%, providing the biggest support for the index.
3. Yields weigh on sentiment
Resona Asset Management senior fund manager Koji Toda said bond yields were rising as markets expected central bank tightening to fend off inflation, weighing on investor sentiment. On the Tokyo Stock Exchange's prime market, 76% of more than 1,500 stocks fell, 21% rose and 2% traded flat.
