* Toshiba dives on news co will likely miss 3rd earnings
* Tankan upbeat but outlook reflects concern about Trump
policies - analyst
By Ayai Tomisawa
TOKYO, April 3 Japanese stocks edged up on
Monday morning after sharp losses last week, but an upbeat Bank
Of Japan survey had only a modestly positive impact on risk
appetite amid lingering worries about the outlook for exporters.
Trading in Toshiba Corp also tempered the mood.
The stock stumbled more than 7 percent and was the most traded
by turnover after sources told Reuters that the troubled
Japanese conglomerate would likely miss a third deadline to
report its quarterly business result.
That kept the Nikkei's gains contained, up 0.3
percent to 18,965.52 in midmorning trade. The index lost 1.8
percent last week when it slumped to a seven-week low of
A closely watched central bank survey showed that Japanese
big manufacturers' business sentiment improved for a second
straight quarter to a 1-1/2-year high in March, and was slightly
lower than market expectations.
Market participants say that although the overall result was
positive, worries about the outlook for sectors such as
automakers tempered the enthusiasm.
Indeed, U.S. President Donald Trump's protectionist stance
appeared to weigh on big automakers' outlook, the BOJ survey
showed, with the sub-index at plus 9, down 9 points from three
"The figure is capping the upside in Japanese stocks," said
Yutaka Miura, a senior technical analyst at Mizuho Securities.
For now, Miura expects the market to continue to take its
cues from dollar-yen levels, a key focus for the export-driven
Japanese equities - and most of the global stock markets -
have been influenced by broad sentiment around Trump's early
efforts to change domestic policies.
The yen has been pushed around by the Trump factor, with the
U.S. president's failure to get a healthcare bill passed
knocking Japanese and world stocks last week as investors
fretted about his ability to push through economic stimulus
For the short-term, investors are focused on U.S. economic
data such as U.S. factory activity and jobs data, traders say.
On Monday, 28 of Topix's 33 subsectors were in positive
territory. Food companies and mining stocks rose, with Ajinomoto
Co gained 1.8 percent and Kikkoman Corp added
Inpex Corp advanced 0.8 percent and Japan Petroleum
Exploration Co was up 1.0 percent.
The broader Topix added 0.3 percent to 1,516.42 and
the JPX-Nikkei Index 400 rose 0.3 percent to
(Editing by Shri Navaratnam)