Tokyo stocks open lower, tracking Wall Street

Tokyo stocks opened lower on Wednesday, tracking falls on Wall Street, but analysts said losses would be tempered by the upcoming earnings season.

The benchmark Nikkei 225 index slipped 0.27 per cent or 62.99 points to 23,538.79 in early trade, while the broader Topix index was down 0.42 per cent or 6.90 points at 1,642.20.

"Japanese shares are seen declining after falls in the US market," Mizuho Securities said in a note.

However, a "wait-and-see attitude" among investors ahead of corporate earnings season would prevent shares from dipping further, it said.

Wall Street stocks ended down following mixed earnings and after two coronavirus medical trials were paused over potential safety concerns.

US pharmaceutical giant Johnson & Johnson announced it had temporarily halted its Covid-19 vaccine trial because one of its participants had become sick.

J&J's announcement was followed on Tuesday afternoon in the US by news that Eli Lilly had also paused a trial of a coronavirus antibody treatment because of safety concerns.

The dollar fetched 105.47 yen in early Asian trade, against 105.45 yen in New York late Tuesday.

Among major shares in Tokyo, Toyota was down 1.21 per cent at 6,945 yen, industrial robot maker Fanuc was down 1.27 per cent at 20,660 yen, and Sony was off 0.91 per cent at 7,838 yen.

Nippon Steel was down 2.99 per cent at 1,054.5 yen after a report said it would sell two plants to US firm Cleveland Cliffs.

On Wall Street, the Dow closed down 0.6 per cent at 28,679.81.