Japan's key stock index fell more than 1 percent Monday on declines by blue chip issues such as Sony Corp., prompting investors to seek refuge in bonds, which rose to a 22-month high. The dollar rose against the yen. The Nikkei 225 Index closed down 122.75 points, or 1.06 percent, to 11,414.28 points. The index fell 0.3 percent Friday. As stocks fell, the price of the benchmark 10-year Japanese government bond rose 0.23 point to 101.07. Its yield dropped to 1.1800 percent in the afternoon, its lowest level since August 18, 2003, when it hit 1.1050 percent. Japanese stocks fell at the outset following a sharp decline in U.S. stocks Friday. Sony, Advantest Corp., Honda Motor Co. and Toyota Motor Corp. were among the export-dependent blue chips that ended the morning session down. The TOPIX index, which includes all issues on the Tokyo Stock Exchange's first section, lost 12.02 points, or 1.02 percent, to 1,161.44 points Monday. The TOPIX fell 0.56 points, or 0.05 percent, Friday. On Friday, rising oil prices plagued Wall Street as the Dow Jones industrial average suffered its second straight 100-point-plus loss, ending a week dominated by concerns that energy costs would soon eat into corporate profits.