Tokyo: Japan's Nikkei index gave up its early gains to close lower on Thursday, as growing uncertainty around the ongoing war in West Asia prompted investors to sell stocks.

According to Qatar News Agency, the Nikkei fell 0.27 percent to close at 53,603.65 points, after rising 0.8 percent earlier in the session on hopes that tensions in the region would ease. Meanwhile, the broader Topix index closed down 0.22 percent at 3,642.8 points.

Shares of SoftBank Group ended up 0.34 percent, after jumping 7 percent to lead early gains on the Nikkei, while shares of Arm Holdings jumped 20 percent. In contrast, shares of chip-testing equipment maker Advantest fell 1.96 percent, making it the largest drag on the Nikkei's decline.

Likewise, shares of Toto Ltd., a maker of high-tech bathroom and toilet products, dropped 5.66 percent, making them the worst performer on the Nikkei in percentage terms. Of the more than 1,600 stocks trading on the Tokyo Stock Exchange's main market, 62 percent fell, 34 percent rose, and 3 percent were unchanged.