TOKYO, June 17 (Reuters) - Japanese shares fell on Thursday
as investors sold off heavyweight technology stocks following
Wall Street's weak finish overnight after the U.S. Federal
Reserve signalled rate hikes earlier than expected.
The Nikkei share average fell 1.3% to 28,911.01 by
0205 GMT, while the broader Topix lost 0.77% to
The three main Wall Street indexes all fell overnight after
the Fed revealed it expected its first post-pandemic interest
rate hike to come in 2023, a year sooner, citing an improved
health situation amid the vaccine rollout.
"Investors seems to be overreacting to the Fed's
announcement, and the declines in U.S. stocks," said Shoichi
Arisawa, general manager of the investment research department
at IwaiCosmo Securities.
"But it is understandable, because the U.S. market may fall
again tonight as the market might not have fully digested the
Fed's announcement, which was made right before the close."
Tech start-up investor SoftBank Group slipped
2.01%, while chip-related stocks Advantest fell 3.4%
and Tokyo Electron lost 0.78%. Murata Manufacturing
fell 2.77% and Sony Group fell 2.15%.
advanced as U.S. Treasury yields rose.
Insurers T&D Holdings and Dai-ichi Life Holdings
were top gainers on the Nikkei, rising 3.72% and 3.13%,
Mitsubishi UFJ Financial Group added 1.28% and
Sumitomo Mitsui Financial Group gained 1.04%.
Toshiba, which is facing corporate governance
crisis, added 1.05% after the Wall Street Journal reported its
chairman said he may step down after revamping its board and
appointing a new CEO.
There were 54 advancers on the Nikkei index against 170
(Reporting by Junko Fujita; Editing by Shailesh Kuber)