Tokyo  - Japanese stocks fell in Friday morning trading after the country's largest brokerage, Nomura Holdings Inc, said it was selling a record 511.3 billion yen (5.6 billion dollars) of its shares to fund an overseas expansion.

The Nikkei 225 Stock Average lost 305.17 points, or 2.89 per cent, to stand at 10,239.05.

The broader-based Topix index also fell 29.55 points, or 3.11 per cent, to 920.65.

On currency markets at 9 am (0000 GMT), the dollar traded at 90.84-85 yen, up from 90.62-64 yen in late trading Thursday.

The euro traded at 1.4650-52 dollars, down from 1.4763-66 dollars, and at 133.08-12 yen, down from 133.80-84 yen. (dpa)