Nikkei Falls 0.3% Amid Rising Bond Yields and Rate Hike Fears

Japan's Nikkei 225 stock market index fell by 0.3% on Friday, closing at 66,016. The decline was largely driven by rising global bond yields and concerns over potential interest rate hikes in Japan.

The 10-year US Treasury yield rose back to around 4.7%, while Japan's 10-year bond yield also moved higher, weighing on investor sentiment. Investors remained cautious about the impact of US debt buybacks on borrowing costs.

Japan's inflation accelerated for a second straight month, increasing expectations that the Bank of Japan could raise interest rates soon. Technology stocks led the decline, with Fujikura, Taiyo Yuden, and SoftBank Group among the biggest losers.