* Trade thin, lacks direction ahead of FOMC, ECB -analyst
* Suzuki slips as forecast falls short of expectations
* Japan Steel Works jumps after lifting forecast
By Aiko Hayashi
TOKYO, Nov 4 (Reuters) - The Nikkei average was flat on
Wednesday, with Fast Retailing <9983.T> climbing on a surge in
sales at its Uniqlo clothing stores but some exporters losing
ground due to caution before a Federal Reserve statement on
interest rates and the economy.
Suzuki Motor <7269.T> slipped after its upward forecast
revision on Monday fell short of market expectations, while Japan
Steel Works <5631.T> surged after the maker of thermal and
nuclear power generator parts lifted its full-year operating
profit forecast.
"There's a sense of relief in the market after some U.S.
economic indicators such as ISM beat expectations during a market
holiday in Tokyo," said Yumi Nishimura, deputy general manager at
Daiwa Securities SMBC.
"But on the whole, the market is lacking direction as
investors wait for results from the FOMC and the ECB meetings."
The factory gauge from the Institute for Supply Management on
Monday pointed to a brisk pace of growth in the fourth quarter
and hinted at an improvement in the labor market in October.
[]
In thin trade, the benchmark Nikkei <> inched down 6.67
points to 9,796.28, after sliding 2.3 percent on Monday to hit a
three-week closing low. Japanese markets were closed on Tuesday
for a national holiday.
The broader Topix <> dipped 0.2 percent to 878.87.
"The nervous mood in the market will likely continue as the
jobs situation and most importantly, consumer spending in the
United States has not recovered, though economic data and
corporate earnings are showing signs of a considerable recovery,"
said Kenichi Hirano, operating officer at Tachibana Securities.
The S&P 500 and Nasdaq rose slightly on Tuesday as news of a
major railroad acquisition helped sentiment, but the Dow edged
lower on caution as the Federal Open Market Committee began a
two-day meeting that day.
While investors expect the Fed to leave rates close to zero,
they are nervous to hear what the officials say about the
economic outlook. []
The European Central Bank meets on Thursday and is widely
expected to keep euro zone interest rates at a record low of 1
percent. []
FAST RETAILING SHINES
Fast Retailing, the biggest positive contributor to the
Nikkei 225, advanced 3.1 percent to 15,590 yen after sales at its
Uniqlo casual-clothing chain in Japan surged 35.7 percent in
October from a year earlier.
It was the biggest jump in over eight years, as
cost-conscious consumers snapped up jackets and other winter
items. []
Japan Steel Works shot up 9.1 percent to 1,087 yen after the
company lifted its full-year operating profit forecast 7.1
percent on cost-cutting efforts.
Furukawa Electric <5801.T> jumped 6.5 percent to 360 yen
after revising its net income forecast for the April-September
first half to a profit from an earlier estimate of a loss, citing
a recovery in demand for electronics and auto parts as well as
cost-cutting.
But Suzuki slipped 1.8 percent to 2,130 yen after it
quadrupled its year-to-March operating profit forecast to 40
billion yen, below a consensus forecast of 47 billion yen by 16
brokerages. []
Among exporters, chip-tester maker Advantest Corp <6857.T>
fell 2.1 percent to 1,955 yen, while Tokyo Electron Ltd <8035.T>
lost 4.5 percent to 4,880 yen. Sony Corp <6758.T> retreated 1.7
percent to 2,580 yen.
Some 775 million shares changed hands on the Tokyo exchange's
first section, below last week's morning average of 924 million.
Declining stocks outnumbered advancing ones, 977 to 518.
(Editing by Edwina Gibbs)
