The benchmark Nikkei 225 index fell 0.95%, or 367.01 points, to 38,093.07 in early trade, while the broader Topix index dropped 0.44%, or 11.93 points, to 2,698.80.

The fall came as players locked in profits after the Nikkei jumped 2.42% on Wednesday, brokerage house Monex said.

Globally, Facebook parent Meta issued a disappointing outlook overnight, dampening buyers’ enthusiasm, said Stephen Innes of SPI Asset Management.

Investors are also awaiting major US data, including the gross domestic product, he said.

In Tokyo, traders were focused on the yen after it fell below 155 against the dollar for the first time since June 1990, stoking speculation the government might intervene.

On Thursday, the yen was hovering around 155.27 to the dollar, against ¥155.31 in New York overnight.

The Bank of Japan was scheduled to start a two-day monetary policy later in the day, with analysts awaiting what governor Kazuo Ueda may say about the yen. He is not expected to change the bank’s easy monetary policy.

“If the USD/JPY pair is trending steadily higher amid rising US yields, market participants may view threats of intervention as lacking credibility,” Innes of SPI Asset Management said.

“Tokyo desks are currently on high alert for any signs of intervention” before the BoJ finishes its meeting on Friday, Innes said.

Among major shares, Sony Group fell 0.23% to ¥12,810. SoftBank Group lost 0.77% to ¥7,695.

Toyota dropped 1.85% to ¥3,551. Uniqlo-operator Fast Retailing plunged 2.69% to ¥41,920.