TOKYO, Jan 12 (Reuters) - The Nikkei average ended flat on Wednesday, backing away from an eight-month high hit during the day as traders locked in profits after upbeat U.S. earnings reports and a weaker yen prompted foreign investors to pile into financial and property shares.
Earnings reports from U.S. companies including homebuilder Lennar and store chain Sears Holdings beat expectations, bolstering hopes that the world's No.1 economy is on a sustainable recovery path.
Although it sharply underperformed other major indices in 2010, the Nikkei has added 15 percent since November, with foreign investors net buyers of Tokyo stocks in the week to Jan. 1 for a ninth straight week.
The benchmark Nikkei ended the most active trading this year up 0.02 percent or 2.12 points at 10,512.80. Earlier it hit 10,576.51, its highest intraday level since May 13, 2010.
The broader Topix index added 0.3 percent to 929.64. (Reporting by Antoni Slodkowski; Editing by Michael Watson)