With central bank meetings in both Japan and the United States coming up, caution over monetary policy moves, as well as the recent decline in Wall Street’s previous session, drove the Nikkei average down on Monday.

The Nikkei closed down 0.95% at 30,696.96, as the broader Topix fell 1.04% to 2,231.24.

Shoichi Arisawa, general manager of the investment research department at IwaiCosmo Securities said, “The Nikkei was dragged down by the losses in the Dow Jones over the weekend. And investors hesitated to buy stocks as they awaited policy decisions at central bank meetings in the U.S. and Japan.” He added, “Also, investors wanted to wait for the announcement of more corporate outlook as some companies were heavily sold after disclosing disappointing outlooks.”

The Dow Jones Industrial Average fell 1.12% of Friday, as the S&P 500 dropped 0.48%, as investors sought to cope with a chaotic week of mixed earnings reports and economic data that pointed to interest rates remaining elevated higher than previously forecasted, for a longer time.

The Japanese central bank began its latest two-day policy meeting Monday with increased pressure to abandon its controversial bond yield control, while the 10-year bond is approaching the policy cap of the bank of 1%.

On November 1st, it is expected the US Federal Reserve will maintain its key interest rate at the present rate, waiting longer than had previously been predicted to cut it, according to a survey of economists by Reuters, as a higher-for-longer message of the central bank takes hold.

In Japan’s stock news, Hino Motors fell 18.67% to 435.2 yen, just over its daily limit low, following the automaker flagging an unusual net loss, which downgraded the forecast from a profit.

The automakers index fell 2.83%, the biggest loss among the Tokyo exchange’s 33 sub-indexes for various industries, as Toyota Motor fell 2.44%.

Omron dropped to its daily limit, plummeting 15.83%, after a cut to the annual profit forecast of the healthcare equipment maker.