Tokyo's Nikkei average lost initial gains to close lower on Tuesday for the second straight day as investors became nervous about the recent rally and opted to take profits in gainers such as banks and property firms. Analysts said the yen's strength against the dollar was also depressing sentiment and domestic investors took to the sidelines ahead of the end of Japan's financial year on Wednesday.
But there was some support from growing optimism over Japan's economic recovery, which encouraged foreigners and small investors to pick up selected telecom and technology stocks. The Nikkei <.N225> ended the session down 0.21 percent at 11,693.68. It earlier rose as high as 11,869.00, its best intraday level since June 4, 2002. The broader TOPIX index <.TOPX> lost 0.31 percent to 1,175.51, closing lower for the first time in six days.///