(by Dr. Goldfinger)

The Nikkei 225 average fell 0.3 per cent to 11,159.55, its lowest level since early June, while the broader-based Topix index lost 0.7 per cent to 1,126.93.

Investors took defensive positions in some big name stocks, with Sony down 0.3 per cent at Y3,900. Nikko Cordial closed off 0.4 per cent at Y504 before revealing quarterly net profit doubled to Y13.6bn from the previous year thanks to rising trading commission revenues. Nomura, Japan’s top broker, lost 0.9 per cent to Y1,488, and Daiwa Securities fell 2.1 per cent to Y744.

Japanese big banks were among the decliners. Mitsubishi Tokyo Financial Group headed the banking falls, down 3.6 percent to 1.05 million yen.

SMFG was 2.7 percent lower to 713,000 yen, Mizuho was off 1.1 percent to 435,000 yen and UFJ closed 1.5 percent in the red at 446,000 yen.

Technology stocks recovered, with makers of chip production equipment, the main victims of recent jitters about the sector’s prospects, striding higher. Advantest rose 2.4 per cent to Y6,410 and Tokyo Electron climbed 2.9 per cent to Y5,380.