Nikkei closes lower as shares of chip-related companies decline

The Nikkei index closed lower on Friday, weighed down by a decline in technology stocks, as investors awaited the US jobs report later in the day for signs of whether the Federal Reserve will change course on interest rates.

The Nikkei index fell 0.26 percent to 30,994.67 points.

The index was volatile this week, losing 2.7 percent on Wednesday and gaining 1.8 percent in the previous session. It lost 2.7 percent during the week.

Growth-related stocks that are highly sensitive to interest rates declined, with shares of Tokyo Electron Company, which manufactures chip-making equipment, falling 1.59 percent, and shares of Advanced, which manufactures chip testing equipment, fell 1.65 percent.

Air conditioning maker Daikin Industries shares fell 1.2 percent.

The broader Topix index settled at 2,264.08 points, up 0.1 percent from the previous session. But it lost 2.5 percent during the week.

Takeda Pharmaceuticals shares rose 1.47 percent, giving the largest boost to the Topix index. Mitsubishi Trading Corp. shares rose 1.27 percent.

Shipping company shares rose 2.09 percent, becoming the best performers among the 33 sub-indices on the Tokyo Stock Exchange.

Shares of energy companies fell 2.21 percent, becoming the worst performing sector.