Nikkei drops after disappointing U.S. earnings, pause in yen
* Nikkei down 0.8 pct, Topix off 0.3 pct * Ibiden falls on lukewarm Intel forecast * But Mitsubishi Motors surges to 5-month high By Ayai Tomisawa TOKYO, Jan 17 (Reuters) - Japanese stocks dropped on Friday morning, following Wall Street lower in the wake of disappointing U.S. corporate earnings, while exporters sagged as the weak-yen trend took a pause. Bucking the weakness, Mitsubishi Motors Corp jumped as much as 11 percent to a five-month high, as some short-term investors cut their short positions in the Japanese automaker that they had been building up ahead of a public share offering. The Nikkei average was down 0.8 percent at 15,624.59 in midmorning trade, falling for a second day and trading below its 25-day moving average of 15,736.83. The benchmark has shed 1.5 percent so far this week. Goldman Sachs and Citigroup reported weaker-than-expected results on Thursday, confounding expectations for good results among U.S. financial firms following upbeat earnings from Bank Of America and Wells Fargo earlier this week. "U.S. companies whose earnings have a big impact on the global economy disappointed the market, so it is triggering selling," said Norihiro Fujito, a senior investment strategist at Mitsubishi UFJ Morgan Stanley Securities. He added that investors were reducing their positions before a three-day weekend in the United States, where markets will be closed on Monday for a public holiday. Ibiden Co, which supplies Intel Corp with flip-chip substrate packages, slipped 1.3 percent after the U.S. chipmaker reported a lukewarm revenue forecast. Among exporters, Nissan Motor Co shed 0.6 percent, Sony Corp dropped 1.7 percent and Panasonic Corp fell 2.1 percent, as the dollar eased from a one-week peak to 104.31 yen. The broader Topix was down 0.3 percent at 1,290.27. The JPX-Nikkei Index 400, a recently introduced gauge comprised of firms with high return on equity and strong corporate governance, was flat at 11,678.54.