TOKYO, Dec. 15 (Xinhua) -- Japan's benchmark Nikkei stock index closed lower on Thursday, following losses on Wall Street overnight after the U.S. Federal Reserve signaled that its interest rate hikes will continue for a prolonged period of time.
The 225-issue Nikkei Stock Average lost 104.51 points, or 0.37 percent, from Wednesday to close the day at 28,051.70.
The broader Topix index, meanwhile, shed 3.52 points, or 0.18 percent, to close at 1,973.90.
Following the conclusion of the U.S. Federal Reserve's policy-setting meeting, dealers said the central bank's hawkish stance on its monetary tightening, which will continue for a pronged period amid inflationary pressure, renewed concerns over the U.S. economy slipping into a recession.
They explained that despite the Fed's slowing benchmark interest rate as widely expected, concerns remained that the borrowing rate would negatively impact companies and households looking ahead and dashed hopes that rates would be significantly reduced next year.
"The Japanese market got rid of the negative factors after the Federal Open Market Committee (FOMC). But, there are still concerns about the outlook of the economy as the Fed will continue raising rates," Chihiro Ohta, assistant general manager of investment research and investor services at SMBC Nikko Securities, was quoted as saying.
As a result, trading was mixed, she said.
By the close of play, electric appliance, precision instrument and service-linked issues comprised those that declined the most.
Nikkei's heavyweight Fast Retailing, owner of the Uniqlo clothing store chain, dragged the broader market lower, losing 2.3 percent, with high-tech issues weighing after the Nasdaq's overnight retreat.
Among these, chipmaking equipment maker Tokyo Electron fell 0.7 percent, while Sony Group relinquished 0.9 percent.
Industrial machinery manufacturers helped trim losses, however, with Kawasaki Heavy Industries leaping 5.0 percent, Mitsubishi Heavy Industries up 4.1 percent and Hitachi Zosen adding 3.1 percent.
Issues that rose outpaced those that fell by 908 to 825, while 105 ended the day unchanged.
On the Prime Market on Thursday, 913.76 million shares changed hands, dropping from Wednesday's volume of 985.58 million shares.
The turnover on the penultimate trading day of the week came to 2,243.71 billion yen (16.48 billion U.S. dollars). ■