Japanese share ends at near 4-week low on Wall Street weakness

TOKYO - Japanese shares closed lower on Tuesday to their lowest in nearly four weeks as heavyweight tech stocks led the decline after they tracked a sharp overnight drop on Wall Street.

The Nikkei share average ended 1.81% lower at 26,334.98, the lowest since March 16. The broader Topix fell 1.38% to end at 1,863.63.

Wall Street closed sharply lower overnight as investors started the holiday-shortened week in a risk-off mood, as rising bond yields weighed on market-leading growth stocks ahead of key inflation data.

Resona Asset Management's chief strategist, Koichi Kurose, said concerns over COVID-19 lockdowns in China and rising commodity prices also weighed on investor sentiment in Japan.

Uniqlo clothing shop owner Fast Retailing was the biggest drag on the Nikkei, falling 3.18%. Robot maker Fanuc fell 5.47% and healthcare equipment maker Terumo lost 3.69%.

Game maker Sony Group and Keyence, a maker of sensors and touch panels, pulled the Topix lower, falling 2.65% and 3.45%, respectively.

Shipping was the worst sector among the Tokyo Stock Exchange's 33 sub-indexes, losing 5.68%. Mitsui O.S.K. Lines fell 6.07% and was the worst performer on the Nikkei.

Peers Kawasaki Kisen and Nippon Yusen followed, falling 5.84% and 5.74%.

Airlines were the top performers, gaining 0.45%, after the S&P 1500 Airline index rose 2.7% overnight on falling crude prices.

Takashimaya jumped 4.09% and was the top gainer on the Nikkei after the department store operator forecast a better-than-expected annual profit and announced an outlet closure in Tokyo.

Peer Isetan Mitsukoshi Holdings followed, with a 2.42% gain.