Tokyo stocks fell Wednesday morning following overnight falls on Wall Street, with investors becoming wary ahead of the results of a U.S. Federal Reserve policy meeting later in the day.
The 225-issue Nikkei Stock Average fell 216.12 points, or 0.56 percent, from Tuesday to 38,189.54. The broader Topix index was down 17.47 points, or 0.64 percent, at 2,725.70.
The U.S. dollar was firm in the upper 157 yen range in Tokyo as the currency was bought on expectations that the Fed would keep interest rates elevated for longer than expected after U.S. data released Tuesday pointed to increasing labor costs, dealers said.
At noon, the dollar fetched 157.88-89 yen compared with 157.76-86 yen in New York and 156.85-87 yen in Tokyo at 5 p.m. Tuesday.
The euro was quoted at $1.0657-0661 and 168.25-33 yen against $1.0661-0671 and 168.18-28 yen in New York and $1.0704-0706 and 167.90-94 yen in Tokyo late Tuesday afternoon.
On the stock market, a wide range of issues were sold as investors remained cautious regarding potential hawkish remarks from Fed Chair Jerome Powell amid persistent inflation in the world's largest economy, analysts said.
But the market's downside was supported by positive earnings from some Japanese companies, such as semiconductor equipment maker Lasertec Corp., they said.
