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Nikkei falls as US-Israel air war with Iran escalates

ReutersMar 3, 2026 12:29 AM

- Japan's Nikkei share average fell on Tuesday as investors weighed the repercussions of U.S. and Israeli strikes on Iran for a second day.

The Nikkei .N225 fell 0.8% to 57,613.87 as of 0913 GMT while the broader Topix .TOPX slipped 1.0% to 3,858.50.

The U.S. and Israeli air war against Iran widened with no end in sight, as Israel attacked Lebanon in response to strikes by Hezbollah, and Tehran kept up its missile and drone attacks on Gulf states that host U.S. military bases.

Transport equipment shares .ITEQP.T fell 3.9%, and oil and coal sectors .IPETE.T slipped 3.8%.

Japan's largest airline ANA Holdings 9202.T lost 2.1% and its peer Japan Airlines 9201.T was down 4%.

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