Japanese markets closed lower Tuesday, while the U.S. dollar is higher against the Japanese yen.

Tokyo's Nikkei index dropped nearly one and one-quarter percent to finish at 9,845.

In currency trading, the dollar was selling at 77.28 yen, a gain of less than one-tenth of a yen from Monday.

The Taipei market closed at 8,585, a loss of more than one and one-quarter percent .