Nikkei edges up as weak yen helps mood; China PMI, Japan earnings in focus

Wed Jul 23, 2014 9:44pm EDT

* Volume may be low as market focused on China survey,
Japanese earnings
    * Canon Marketing tumbles to 2-month low on possible
erroneous order - traders

    By Ayai Tomisawa
    TOKYO, July 24 (Reuters) - Japan's Nikkei share average
edged up on Thursday morning as the slightly weakening yen
supported sentiment, but geopolitical worries over Ukraine and
Gaza kept activity in check.
    Investors stayed on the sidelines as they were also focused
on a manufacturing survey from China later in the day as well as
quarterly results from Japanese companies after the market
close.
    The Nikkei rose 0.2 percent to 15,351.63 in
mid-morning trade after ending 0.1 percent lower on the previous
day.
    The HSBC flash PMI is expected to inch up to 51 in July,
which would cement expectations that the economy is recovering.
    Among the companies that will report results for the
April-June quarter after the market close are Canon Inc
, Advantest Corp and Shin-Etsu Chemical Co
.
    "The mood is not bad but trading may be subdued today as
most investors don't want to take positions until earnings are
out," said Takatoshi Itoshima, chief portfolio manager at
Commons Asset Management.
    Traders also said that risk appetite in the broader markets
remained sour by conflicts in Ukraine and the Gaza Strip. 
    Exporters were mostly higher as the dollar firmed a tad to
101.54 yen, continuing to recover slowly from last
Friday's low of 101.09. Toyota Motor Corp rose 0.3
percent, Honda Motor Co added 0.1 percent and Nikon
Corp advancing 0.8 percent.
    On the other hand, Canon Marketing Japan Inc 
tumbled as much as 17 percent to a two-month low of 1,646 yen in
early trade before crawling up 1.1 percent in mid-morning trade,
with traders citing a possible erroneous order.
    The broader Topix gained 0.1 percent to 1,273.65,
and the JPX-Nikkei Index 400 advancing 0.1 percent
to 11,598.80.

 (Editing by Kim Coghill)