Japan’s Nikkei falls 2% to track Wall Street’s sharp declines

TOKYO – Japan’s Nikkei share average fell 2% on Tuesday, tracking sharp overnight losses of Wall Street, with technology stocks leading the declines.

By 0012 GMT, the Nikkei was down 2% at 36,285.01, near its lowest level since September 18.

The broader Topix fell 1.86% to 2,649.64.

U.S. stocks plunged on Monday as relentless tariff wrangling and mounting anxieties from a possible federal government shutdown gave rise to fears that the U.S. economy could be careening into recession.

In Japan, chip-related stocks fell, with Advantest and Tokyo Electron slipping 2.86% and 2.82%, respectively. Technology investor SoftBank Group fell 4.19%.

Uniqlo-owner Fast Retailing lost 2.78%.

Air-conditioner maker Daikin Industries rose 1.56% to provide the biggest support to the Nikkei. Soy sauce maker Kikkoman edged up 0.3%.

(Reporting by Junko Fujita; Editing by Tom Hogue)