TOKYO, Dec 15 (Reuters) - Japan's Nikkei share average edged lower on Thursday, tracking overnight Wall Street losses, hit by concerns over the impact of the U.S. Federal Reserve's projections of continuing with interest rate hikes for a longer period on corporate outlook.
The Nikkei fell 0.27% to 28,081.55 by the midday break, after briefly turning positive. The broader Topix inched down 0.12% to 1,975.13.
U.S. stocks closed lower in volatile trading overnight, following a policy announcement by the Fed that raised interest rates by an expected 50 basis points, but its economic projections see higher rates for a longer period.
"The Japanese market got rid of the negative factors after the FOMC (thee Federal Open Market Committee). But there are still concerns about outlook of the economy as the Fed will continue raising rates," said Chihiro Ohta, assistant general manager at the investment research and investor services at SMBC Nikko Securities.
"That is why the trading was mixed."
Uniqlo clothing brand owner Fast Retailing fell 0.32%, dragging the Nikkei the most. Chip-making equipment maker Tokyo Electron lost 0.63%.
Industry machinery makers advanced, with IHI jumping 3.67%, Kawasaki Heavy Industries gaining 2.56% and Hitachi Zosen rising 2.86%.
Department store operators rose, with Takashimaya Isetan Mitsukoshi Holdings rising 1.84% and 2.33%, respectively.
Euglena surged 10.22% after the bio venture firm said it was studying the possibility of developing and operating a biorefinery in Malaysia with Italian energy group Eni and Malaysia's Petroliam Nasional Berhad (Petronas).
Oil explorers rose 1.42% to become the top gainer among the Tokyo Stock Exchange's 33 industry sub-indexes. (Reporting by Junko Fujita; Editing by Rashmi Aich)
