Japanese Stocks Plummet on Rising Oil Prices and Bond Yields

Japanese stocks took a hit on Friday due to rising oil prices and bond yields. The Nikkei 225 plummeted 1.93% to 64,011 points, while the broader Topix fell 0.65% to 4,028.

Investors were already cautious ahead of the US CPI report, which is expected to be released soon. The strong producer price data from Thursday raised expectations that the Federal Reserve could raise interest rates next week.

The Bank of Japan's board member Kazuyuki Masu stated that policymakers are likely to continue tightening policy and gradually reduce monetary support as inflation moves closer to the 2% target.