Tokyo stocks open lower tracking US losses

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Tokyo stocks opened lower on Friday, extending losses on Wall Street following hawkish comments from the Federal Reserve about its monetary tightening plans.

The benchmark Nikkei 225 index was down 1.49 percent, or 410.48 points, at 27,142.58 in early trade, while the broader Topix index was down 1.16 percent, or 22.36 points, at 1,905.64.

US stocks tumbled overnight after Fed Chair Jerome Powell exacerbated worries over higher interest rates, offsetting a lift from a resurgent airline industry.

Powell, who has signalled that the US central bank will have to move more aggressively to counter record inflation in the country, explicitly said a half-point interest rate increase was “on the table” for next month’s policy meeting. “The Japanese market is likely to be weak, as the US market saw nervous movements led by tech shares,” Okasan Online Securities said.—APP

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