Tokyo stocks open lower with yen edging higher

Tokyo stocks opened fractionally lower on Monday, extending falls on Wall Street last week as a higher yen weighed on the market with concerns lingering over trade issues.

The benchmark Nikkei 225 index slipped 0.04 per cent or 9.39 points to 22,297.67 in early trade, while the broader Topix index was down 0.11 per cent or 1.79 points at 1,682.52.

The dollar fetched 110.99 yen in early Asian trade, down from 111.02 yen in New York late Friday, when world equities stumbled on worries over the US-China trade war after a threat of fresh tariffs by President Donald Trump.

"Tokyo shares are seen dominated by selling orders following falls in US shares," SBI Securities said in a commentary.

Noting that the yen was edging higher against the dollar and the euro, it added that bargain-hunting buying may emerge later "on expectations for sound corporate earnings."

The Nikkei and Topix rebounded into positive territory several minutes later.

Electronic parts maker Rohm was down 2.42 per cent at 9,270 yen and chip testing devices maker Advantest was down 1.71 per cent at 2,404 yen.

Fast Retailing, the Uniqlo casual wear operator and market heavyweight, was down 0.85 per cent at 53,440 yen while Panasonic was down 0.43 per cent at 1,268 yen. 

Toyota was up 0.46 per cent at 6,627 yen after it said it was preparing to resume production at its quake-hit plant in Hokkaido.

In New York on Friday, the Dow ended down 0.3 per cent at 25,916.54.