Japan's Nikkei average edges down in thin trade

(Updates to midsession)

TOKYO, March 28 (Reuters) - Japan's Nikkei average slipped 0.1 percent in thin trading on Friday, pulled down by Honda Motor Co Ltd (7267.T: Quote, Profile, Research, Stock Buzz) and tracking overnight falls on Wall Street.

Financials fell, with Japan's third-largest bank Sumitomo Mitsui Financial Group (8316.T: Quote, Profile, Research, Stock Buzz) losing 1.7 percent amid fresh concerns about the health of U.S. financial sector.

Oil and gas field developer Inpex Holdings Inc (1605.T: Quote, Profile, Research, Stock Buzz) extended gains on a continued rally in crude prices.

The benchmark Nikkei .N225 ended the morning session down 7.08 points at 12,597.50. The broader TOPIX lost 0.1 percent to 1,225.77. (Reporting by Taiga Uranaka)