Tokyo stocks closed sharply lower Tuesday with the key Nikkei stock index dropping 1.70 percent. The benchmark Nikkei 225 Average lost 152.87 points from Monday to 8,835.52. The broader Topix index contracted 9.56 points, or 1. 25 percent lower to 754.50. The sectors leading the decline included the sea transport sector, the securities and the rubber products sectors, while the pulp and paper, the electricity and gas and the land transport sectors were the winners.