This Oct. 1, 2020 file photo shows the Tokyo Stock Exchange. (Mainichi)

       TOKYO (Kyodo) -- Tokyo stocks ended slightly lower Wednesday after unexpectedly high U.S. consumer price index data for June fueled wariness over rapid inflation.

       The 225-issue Nikkei Stock Average ended down 109.75 points, or 0.38 percent, from Tuesday at 28,608.49. The broader Topix index of all First Section issues on the Tokyo Stock Exchange finished 4.48 points, or 0.23 percent, lower at 1,963.16.

       Decliners were led by marine transportation, rubber product, and air transportation issues.

       The U.S. dollar remained steady in the mid-110 yen range, after the unit advanced overnight on speculation that a rise in U.S. Treasury yields would widen the interest rate gap between the United States and Japan, dealers said.

       At 5 p.m., the dollar fetched 110.50-51 yen compared with 110.58-68 yen in New York and 110.36-38 yen in Tokyo at 5 p.m. Tuesday.

       The euro was quoted at $1.1784-1785 and 130.22-26 yen against $1.1772-1782 and 130.26-36 yen in New York and $1.1851-1852 and 130.79-83 yen in Tokyo late Tuesday afternoon.

       The yield on the benchmark 10-year Japanese government bond inched down 0.005 percentage point from Tuesday's close to 0.015 percent as investors bought the debt after a Bank of Japan debt-buying operation saw limited offers. Bond yields move inversely to prices.

       The Nikkei index stayed in negative territory throughout the day, tracking overnight losses on Wall Street as higher-than-expected inflation for June in the United States made investors wary about earlier stimulus tapering.

       The U.S. consumer price index, released Tuesday, climbed 5.4 percent in June from a year earlier, the fastest pace of increase in nearly 13 years, and larger than the 4.9 percent gain projected by economists.

       However, "the market's reaction to rapid inflation was somewhat limited, with investors supporting the U.S. Federal Reserve's view that acceleration is temporary," said Yutaka Miura, senior technical analyst at Mizuho Securities Co.

       Market participants are looking to Federal Reserve Chairman Jerome Powell's congressional testimony on Wednesday and Thursday for cues on whether the CPI data will lead the bank to tighten its monetary policy, brokers said.

       On the First Section, declining issues outnumbered advancers 1,177 to 910, while 105 ended unchanged.

       Some component suppliers for Boeing Co. fell after the company said Tuesday it is temporarily reducing production due to additional rework required on its undelivered 787 aircraft, brokers said.

       Mitsubishi Heavy Industries declined 72 yen, or 2.2 percent, to 3,222 yen, and IHI slid 37 yen, or 1.4 percent, to 2,581 yen.

       Meanwhile, shares that had been sold recently such as construction issues drew buying, with Shimizu advancing 15 yen, or 1.7 percent, to 910 yen and Daiwa House Industry rising 50 yen, or 1.5 percent, to 3,459 yen.

       Toho climbed 505 yen, or 11.1 percent, to 5,060 yen, after the cinema operator said Tuesday its operating profit for the March-May business period had nearly quadrupled from a year earlier.

       Trading volume on the main section rose to 981.18 million shares from Tuesday's 957.52 million shares.

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