* Nikkei poised to end positive 2016
* Nintendo jumps on new mobile game hopes
By Ayai Tomisawa
TOKYO, Dec 26 Japan's Nikkei share average edged
down on Monday morning led by falls in banking and exporter
stocks with risk appetite sapped by a pause in the yen's recent
tendency to weaken.
The Nikkei dropped 0.2 percent to 19,395.99 in
midmorning trade, with activity will likely to stay subdued in
thin trade. Markets in Japan were closed on Friday for a
Japanese stocks are expected to hover the current level in
thin trade this week, traders said. They noted the Nikkei was
poised to end in positive territory for the year, posting its
fifth straight year of annual gains.
"Japanese shares will likely stay resilient for the rest of
the year. As soon as next year starts, market attention will
shift to such events as U.S. jobs data," said Nobuhiko
Kuramochi, a strategist at Mizuho Securities.
The benchmark index so far has risen 2 percent for the year.
Japanese equity markets have surged in the four years since
Prime Minister Shinzo Abe took office, with the Nikkei hitting
an almost two-decade high in June 2015, on hopes his Abenomics
policies of monetary stimulus, fiscal expansion and structural
reforms would end decades of deflation and stagnation.
Attention has shifted to U.S. politics and economic
potential after Donald Trump surprisingly won the U.S.
presidential election last month.
Japanese equities have been underpinned by the yen's
weakness against the dollar on expectations that the incoming
administration would boost economic growth and inflation via
increased infrastructure spending, tax cuts and reduced
Exporters languished on Monday, with Toyota Motor Corp
falling 1.5 percent, Honda Motor Co shedding
1.8 percent and Panasonic Corp dropping 1.0 percent,
after the dollar lost 0.2 percent to 117.300 yen.
Banking stocks also stumbled, with Mitsubishi UFJ Financial
Group falling 1.5 percent and Mizuho Financial Group
down 1.2 percent.
Bucking the trend, Nintendo Co jumped 4.6 percent
after the Nikkei newspaper reported that Nintendo plans to put
out about three new smartphone games a year in the next fiscal
year and beyond.
The broader Topix dropped 0.3 percent to 1,539.22
and the JPX-Nikkei Index 400 fell 0.4 percent to
(Reporting by Ayai Tomisawa; Editing by Eric Meijer)