Nikkei may open lower but trade thin before tankan

TOKYO, Dec 13 (Reuters) Tokyo stocks are likely to open lower on Wednesday on concern about recent rapid gains in the market, but trade may be thin ahead of the Bank of Japan's tankan corporate sentiment survey later this week.

Investors will likely focus on Sharp Corp. after the company said on Tuesday it is under investigation by fair trade authorities in the United States and Japan over potential anti-monopoly practices in the liquid crystal display (LCD) business.

South Korea's Samsung Electronics Co. Ltd. and LG.Philips LCD Co.

Ltd. are under similar probes, sending their shares tumbling a day earlier.

''The Nikkei is likely to open lower as investors try to adjust the rapid gains in the market,'' said Masayoshi Okamoto, head of dealing at Jujiya Securities.

''But it may rebound in the afternoon as the market has been bullish with investor sentiment becoming optimistic.'' Nikkei futures point to little change in the market. December futures traded in Chicago closed at 16,685 on Tuesday, up 15 points from their close in Osaka The Nikkei average will likely move between 16,500 and 16,650 on Wednesday, market participants said. The benchmark rose 0.66 percent on Tuesday to 16,637.78, its highest close since Oct. 27.

The Bank of Japan will release its quarterly tankan survey on Friday, after which the BOJ is widely expected to finalise its thinking on interest rates before its Dec. 18-19 policy meeting.

U.S. stocks fell on Tuesday after disappointing earnings from electronics chain Best Buy Inc. and a weak forecast from steel maker Nucor Inc. dented confidence in the outlooks for the holiday shopping season and corporate profits.

Technology shares led the Nasdaq lower on concern that Dell Inc.

may have reduced orders for flat panel displays.

The Dow Jones industrial average fell 0.10 percent to close at 12,315.58. The Nasdaq Composite Index dropped 0.46 percent.

STOCKS TO WATCH --Canon Inc.

Canon will likely book about 444 billion yen (