Tokyo stocks seen up for 4th day on economy hopes

TOKYO, Mar 14 (Reuters) Tokyo stocks are expected to advance for a fourth straight session on Tuesday, driven by confidence in Japan's economic rebound and improving company earnings.

The Nikkei share average has added more than 700 points since the Bank of Japan's decision to scrap its super-easy monetary policy last week.

''The BOJ decision helped the market absorb recent uncertainty. Investors are now able to concentrate on the strong economic outlook and positive corporate earnings,'' said Hiroichi Nishi, general manager of equity marketing at Nikko Cordial Securities.

''I think shares in both leading exporters and leading firms tied to the domestic economy will see buying.'' Traders expect the Nikkei to move between 16,300 and 16,500 on Tuesday.

On Monday it booked its highest close in a month, rising 1.53 percent to 16,361.51, as revised economic growth data underscored an upbeat outlook for Japan.

In Chicago, Nikkei futures expiring in June closed at 16,375, a rise of 75 points from the Osaka finish.

The Tokyo stock exchange is still shortening overall afternoon trading by 30 minutes to avoid computer system problems. Trade will begin at 1 p.m. (0400 GMT) instead of the usual 12:30 p.m. and will finish at 3 p.m.

STOCKS TO WATCH -- Toyota Motor Corp. and Fuji Heavy Industries Ltd.

The auto makers on Monday announced a deal to build the Toyota Camry sedan at an underused Fuji Heavy plant in the United States, calling the move a first step in a developing tie-up between the two Japanese companies.

-- Livedoor Co.

The Tokyo Stock Exchange said on Monday it would delist shares in the scandal-hit Internet company on April 14 after Japan's securities watchdog filed a criminal complaint against the company for padding its books.

-- Mitsui O.S.K. Lines Ltd.

Japan's second-biggest shipping firm said on Monday it would issue 45 billion yen (9 million) worth of euroyen convertible bonds to invest in ships.

-- Tokyo Electron Ltd., chip equipment makers.

Global sales of microchip-making equipment in January fell for the 12th consecutive month, but the pace of decline was slower than the previous month, an industry group said on Monday.

Reuters SK VP0632