Japanese share prices are likely to remain under pressure next week as investors fret about the so-called US "fiscal cliff" denting a recovery in the world's biggest economy, analysts said Friday.
For the week ended November 9, the benchmark Nikkei 225 index at the Tokyo Stock Exchange lost 3.2 percent, or 293.62 points, to 8,757.60.
The broader Topix index of all first-section shares fell 2.8 percent, or 21.35 points, to 730.74.
Tokyo's losses came as Wall Street went into a freefall after the re-election of US President Barack Obama over worries that a deadlock in Washington would go unresolved.
If Congress fails to reach a new spending deal, it would usher in deep spending cuts and tax hikes scheduled to come into effect January 1, likely sending the US economy into recession and hitting the global economy.
"We have always known that the fiscal cliff was coming, but the markets are moving as if investors had just discovered it," Daisuke Uno, chief market strategist of Sumitomo Mitsui Banking Corp., told AFP.
"Share prices will likely remain under downward pressure for the time being," he added.
The Japanese market tends to track movements on Wall Street.
"Many fear that no matter what course of action is taken by the US government over the issue ... it will likely lead to a slowdown in economic growth momentum, which would inevitably have a fallout on stock markets," a chief strategist at a Japanese brokerage told Dow Jones Newswires.
Uno added that local media reports suggesting Japanese Prime Minister Yoshihiko Noda will call snap elections by the end of this year could fuel uncertainty about the nation's political future, weighing on shares.