Investors are watching how cautious companies

Investors are watching how cautious companies Toyota Motor Corp., which gets more than 70 percent of its sales abroad, retreated 1.1 percent. Canon Inc., the world’s biggest camera maker, lost 1.3 percent. Shionogi & Co. retreated 2.5 percent after the drugmaker cut its profit forecast, citing foreign-exchange rates and one-time losses. KDDI Corp., Japan’s second-largest mobile-phone network operator, surged 8.6 percent after announcing a buyback plan and higher profit.

“Investors are watching how cautious companies will become because of the yen’s appreciation,” said Kenji Sekiguchi, general manager of strategic research and investment at Mitsubishi UFJ Asset Management Co., which oversees about $75 billion in Tokyo.

The Nikkei 225 Stock Average slid 0.3 percent to 9,399.80 at the 11 a.m. trading break in Tokyo. The broader Topix index fell 0.5 percent to 820.81, reversing a gain of 0.2 percent. About twice as many stocks declined as advanced.