Japan’s Nikkei 225 share average fell 1% to close at 71,645.26 on Tuesday, snapping an eight-session winning streak that had propelled the benchmark to new record highs.
Trading remained volatile throughout the session as investors took a breather after the sustained rally.
The decline reflects a shift in sentiment as traders digested the recent gains.
The index swung between gains and losses before settling lower, indicating that buying interest has cooled following the extended upward move.
This pullback marks a technical pause in what has been a strong run for Japanese equities.
Broader Asian equity markets also turned lower on Tuesday, with regional peers following the Nikkei's lead.