TOKYO, June 18 (Reuters) - Japan's Nikkei stock average is likely to slip on Thursday after the U.S. Dow and the S&P 500 dipped due to falls in financial shares, even as technology shares buoyed the Nasdaq.
REIT shares and Mitsubishi Estate may be in focus after Japan's second-biggest developer told Reuters it is interested in buying a real estate investment trust (REIT) in Japan and is preparing to launch a property investment fund in the United States.
The comments follow Daiwa Securities Group's announcement that it would buy a stake in a real estate investment trust and purchase the trust's asset manager.
The Dow and S&P 500 both fell about 0.1 percent on Wednesday as U.S. bank shares took a hit from a broad debt ratings downgrade from Standard & Poor's and uncertainty over the government's extensive proposals for banking-industry reform.
The Nikkei is likely to start slightly lower, but losses will likely be limited after that, said Hiroichi Nishi, general manager in the equity division of Nikko Cordial Securities.
"Buying tends to emerge on dips, but there are also not many reasons to actively chase prices higher, so we are likely to see some range-trading," Nishi said.
The benchmark Nikkei average has slid 2.9 percent on the week after hitting an eight-month closing high of 10,135.82 last Friday.
Despite the decline, market analysts say there is little change in the overall rebound trend, which has lifted the Nikkei 40 percent from its early March trough of 7,021.28.
Nishi said the Nikkei was likely to move between 9,700 to 9,900 on Thursday.
Market analysts say the Nikkei is likely to find support from the 25-day moving average that now lies just under 9,600.
The Nikkei rose 0.9 percent to 9,840.85 on Wednesday.
Nikkei futures traded in Chicago finished at 9,800 on Wednesday, down slightly from the Osaka close of 9,830. ----------------------MARKET SNAPSHOT @ 2312 GMT ------------ INSTRUMENT LAST PCT CHG NET CHG S&P 500 910.71 -0.14% -1.260 USD/JPY 95.84 0.19% 0.180 10-YR US TSY YLD 3.6862 -- 0.000 SPOT GOLD 941.05 0.28% 2.650 US CRUDE 71 -0.04% -0.030 DOW JONES 8497.18 -0.09% -7.49 ------------------------------------------------------------- > Nasdaq advances with tech, but banks curb Dow, S&P > Dollar drops as tame inflation dents rate hike view > Treasuries prices back off on stock market gains > Gold turns higher on dlr drop, investment buying > Oil rises on stock market, US inventory data STOCKS TO WATCH
-- Toyota Tsusho Corp
Toyota Tsusho Corp, Japan's sixth-biggest trading company and an affiliate of Toyota Motor Corp plans to increase its Toyota dealerships in China to cope with strong demand, Junzo Shimizu, president and CEO, told Reuters in an interview on Wednesday.
-- Astellas Pharma Inc
Astellas, Japan's second-largest drugmaker, said on Wednesday it had received regulatory approval for four additional indications for the arthritis treatment Celecox in Japan.
The drugmaker said sales from the applications are factored into its earnings forecast for the year to March 2010.
-- Toyota Motor Corp
Toyota is preparing to ramp up production of the hot-selling Prius hybrid by adding weekend shifts, but denied a report that it was considering building the model at a plant in California held jointly with General Motors Corp.
-- Bridgestone Corp
Bridgestone, the world's top tyre maker, said on Wednesday its new factory in Japan has started production three months ahead of schedule as it sees solid demand for tyres used for mining and construction vehicles.
-- Laox Co
-- The struggling consumer electronics retailer is holding discussions with Chinese retail chain operator Suning Appliance Co on an equity deal that will make it the first big Japanese retailer to become a Chinese company's affiliate, the Nikkei business daily said.
-- Kinki Nippon Tourist Co Ltd
The travel agency cut its earnings forecast for the six months ending this month, hit by a decline in travel following the flu outbreak. It now expects to post a 4.8 billion yen operating loss for the first half, more than its previous estimate of a 3.7 billion yen loss. (Reporting by Masayuki Kitano; Editing by Edwina Gibbs)