Tokyo  - Stocks in Japan dropped in early trading Friday, dragged down by opposition to the US car industry bail-out plan by conservative lawmakers in the US Senate.

The benchmark Nikkei 225 Stock Average was down 110.31 points, or 1.27 per cent, to 8,610 at mid-trading, also affected by the yen strengthening against the dollar.

The broader Topix index of all first-section issues declined by 6.06 points, or 0.71 per cent, to 843,19.

On currency markets at 9 am (0000 GMT), the dollar was quoted at 91.49-54 yen, down from Thursday's 5 pm quote of 92.50-53 yen.

The euro was quoted at 1.3326-31 dollars, up from 1.3115-18 dollars, and at 121.94-99 yen, up from 121.34-38 yen the previous day. (dpa)