Foreign investors remained net sellers of Japanese stocks in the holiday-shortened week ended Sept. 22, spooked by the U.S. Federal Reserve's projections of aggressive interest rate increases and Japanese authorities' intervention in foreign exchange markets.
Foreigners withdrew a net 675.48 billion yen ($4.67 billion) out of Japanese stocks in their second straight week of net selling, data from exchanges showed.
They disposed of derivatives worth a net 499.87 billion yen while exiting 175.61 billion yen in cash equities.
Non-native investors have sold a net 5.44 trillion yen worth of Japanese stocks so far this year, the data showed.
Japanese equities benchmarks - the Nikkei share average and the Topix index, both fell over 1% last week.
This week, the Nikkei plunged to a three-month low and is set for a third straight week of declineS as surging borrowing costs in major economies stoked fears of widespread recession.
Meanwhile, crossborder investors offloaded a net 3.73 trillion yen worth of Japanese bonds, marking their biggest weekly net selling in six months.
Japanese investors also exited 721 billion yen worth of overseas bonds last week, but remained net buyers in foreign equities for a second week with purchases worth a net 264.8 billion yen. ($1 = 144.6500 yen)
(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in Bengaluru; Editing by Kim Coghill)