(Editing by Subhranshu Sahu and Sherry Jacob-Phillips)
By Kevin Buckland
TOKYO, March 2 (Reuters) - Japan's Nikkei share average
ended listless on Thursday as a disappointing Tesla investor day
event and the risk of a more-hawkish U.S. Federal Reserve offset
support from a weaker yen.
The Nikkei reversed early gains to end flat at
27,498.87, although the benchmark index remained around the
middle of its trading range of the past five weeks.
The broader Topix slid 0.16% to 1,994.57.
Fading expectations of an imminent hawkish turn by the Bank
of Japan had supported overall sentiment.
S&P 500 E-mini futures were down 0.53% and Nasdaq
futures lost 0.65%.
Investors were spooked by a jump in U.S. Treasury yields to multi-month highs above 4% in Tokyo trading, as
Fed officials sparred over whether high rates for longer would
be enough to tame stubborn inflation, or if more aggressive
tightening was needed.
But that also produced a weaker yen, which was last down
about 0.35% to 136.69 per dollar .
"Generally, Japanese stocks are holding up well against a
backdrop of a weaker U.S. market, partly because of the weaker
yen," said Naka Matsuzawa, chief strategist at Nomura
Securities.
In addition, "the market is gradually digesting that the BOJ
might not be as hawkish as some people had thought initially
under the new leadership," he added.
Governor Haruhiko Kuroda, who oversaw a decade of massive
easing at the BOJ, will chair his final policy meeting on
Thursday and Friday of next week.
The nominee to replace him, Kazuo Ueda, told parliamentary
hearings that he supports the current ultra-easy policy.
Chipmaking equipment giant Tokyo Electron was the
Nikkei's biggest drag, shaving off 25 points with a 1.56% slide.
At the other end, Uniqlo store operator Fast Retailing provided the most support, adding 56 points with a
2.07% advance.
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.