Tokyo stocks open decrease on interest rate issues

Tokyo stocks opened lower Monday as care lingered over-tightening financial policy by the United States and investors awaited income statements by discounter due this week.

The benchmark Nikkei 225 index was fallen down 0.49 percent, or 133.40 points, at 26,852.40 in early trade, while the broader Topix index slipped 0.21 percent, or 3.95 points, to 1,892.84.

“Focus this week is on the US and Chinese consumer price indexes for March,” among other data, to glean clues on the Federal Reserve’s monetary policy and that of other central banks, said Takashi Hiroki, chief strategist of Monex.

The Fed has recently taken a hawkish tone as it embarks on an aggressive tightening path, prompting traders to fret over the prospect of higher interest rates.

Investors in Tokyo are also paying attention to earnings reports by retailers, including convenience store chain Lawson, Muji casualwear operator Ryohin Keikaku, and Uniqlo operator Fast Retailing, Hiroki said.

The dollar fetched 124.89 yen in early Asian trade against 124.30 yen in New York late Friday.

In Tokyo, Lawson was down 0.88 percent at 4,470 yen ahead of its full-year to February earnings report due later in the day.

Takeda Pharmaceutical was up 0.43 percent at 3,711 yen after a stated report it will stop new drug trials in Russia.

Among leftovers, SoftBank Group falls 1.44 percent at 5,601 yen and Hitachi was off 0.91 percent at 5,853 yen, but Toyota was up 0.76 percent at 2,111 yen.