Japanese stocks were lower in early trade, with the Nikkei Stock Average down 0.8% at 65373.77. Auto, steel, and financial stocks led declines, including Toyota Motor down 2.6%, Nippon Steel 3.3% lower, and Nomura Holdings down 2.8%. The market was affected by uncertainty about the Iran conflict and higher borrowing costs. The dollar stood at 157.45 yen, compared with Y157.63 at Monday's Tokyo stock market close.