Japanese stocks fell for the second day in a row on Thursday, trailing Wall Street, which closed lower on Wednesday, as rising bond yields in the United States and Japan dented investor sentiment.
Japan’s Nikkei index fell 1.68 percent to close at 32,159.28 points after falling 2.3 percent in the biggest daily losses in the previous session.
The broader Topix index also fell 1.45 percent to 2,268.35 points.
Ten-year Japanese government bond yields rose to the highest level in more than nine years after US ten-year yields rose overnight, prompting the Bank of Japan to conduct an emergency bond purchase.
The yen continued its decline after the Bank of Japan announced the emergency purchase, hitting a four-week low at 143.89 yen to the dollar, limiting the losses of the Nikkei index.