Japanese stocks mixed as yields and oil prices rise

Japanese stocks ended mixed on Tuesday, as higher bond yields and rising oil prices increased concerns about inflation and interest rate hikes.

The Nikkei 225 fell 0.15% to 66,215, while the broader Topix gained 0.62% to 4,182. Japan's 10-year government bond yield rose to around 3%, its highest level since 1996, as investors increasingly expect the Bank of Japan to raise interest rates this month.

Oil prices also moved higher for a second straight session as renewed Middle East tensions added to concerns over supply disruptions and inflation.

Among major stocks, Fujikura fell 3.7%, Tokyo Electron declined 2.6%, and Advantest lost 0.9%. On the other hand, Kioxia Holdings rose 2%, SoftBank Group gained 1.2%, and Taiyo Yuden advanced 1.1%.