Nikkei seen opening lower, yen to lift exporters

TOKYO, Feb 13 (Reuters) Japanese stocks are seen opening lower on Tuesday but investors will likely pick up exporters such as Kyocera Corp., encouraged by a weaker yen after the G7 made little mention of the currency at a weekend meeting.

Another focus of the market will be energy stocks such as Nippon Oil Corp. after similar stocks in the United States fell on Monday following a drop in oil prices.

Japanese financial markets were closed on Monday for a public holiday.

''Although U.S. stocks were down, investors are likely to buy exporters as the yen remains weak after the G7 didn't mention anything in particular about the yen at its meeting,'' said Kazuhiro Takahashi, general manger of the equity marketing department at Daiwa Securities SMBC.

A weaker yen is a boon for companies that rely on overseas markets as it boosts profits when earnings from abroad are brought home.

The Group of Seven, under pressure to address a decline of the yen, warned investors on Saturday that they could get burnt by betting in one direction when Japan's economy was continuing to strengthen. But how effective the warning would be remained unclear.

Nikkei futures pointed to a fall in the market.

Contracts expiring in March finished at 17,430 in Chicago, a decline of 80 points from the close in Osaka The Nikkei is likely to move between 17,400 and 17,550 on Tuesday, Takahashi said.

The benchmark rose 1.23 percent to 17,504.33 on Friday. On the week, the index fell 0.24 percent, its first weekly decline since early January.

U.S. stocks declined on Monday, pressured by a sell-off in energy shares such as Exxon Mobil Corp. after oil prices dropped and worries that further evidence of weakness in the housing market could hurt consumer spending.

The Dow Jones industrial average slipped a total of 0.67 percent on Friday and Monday.

U.S. crude oil prices fell more than TOKYO, Feb 13 (Reuters) Japanese stocks are seen opening lower on Tuesday but investors will likely pick up exporters such as Kyocera Corp., encouraged by a weaker yen after the G7 made little mention of the currency at a weekend meeting.

Another focus of the market will be energy stocks such as Nippon Oil Corp. after similar stocks in the United States fell on Monday following a drop in oil prices.

Japanese financial markets were closed on Monday for a public holiday.

''Although U.S. stocks were down, investors are likely to buy exporters as the yen remains weak after the G7 didn't mention anything in particular about the yen at its meeting,'' said Kazuhiro Takahashi, general manger of the equity marketing department at Daiwa Securities SMBC.

A weaker yen is a boon for companies that rely on overseas markets as it boosts profits when earnings from abroad are brought home.

The Group of Seven, under pressure to address a decline of the yen, warned investors on Saturday that they could get burnt by betting in one direction when Japan's economy was continuing to strengthen. But how effective the warning would be remained unclear.

Nikkei futures pointed to a fall in the market.

Contracts expiring in March finished at 17,430 in Chicago, a decline of 80 points from the close in Osaka The Nikkei is likely to move between 17,400 and 17,550 on Tuesday, Takahashi said.

The benchmark rose 1.23 percent to 17,504.33 on Friday. On the week, the index fell 0.24 percent, its first weekly decline since early January.

U.S. stocks declined on Monday, pressured by a sell-off in energy shares such as Exxon Mobil Corp. after oil prices dropped and worries that further evidence of weakness in the housing market could hurt consumer spending.

The Dow Jones industrial average slipped a total of 0.67 percent on Friday and Monday.

U.S. crude oil prices fell more than $2 a barrel after OPEC members Saudi Arabia and Qatar and the cartel's head of research said OPEC may steer away from further supply cuts.

Financial markets in Japan will be also looking ahead to GDP data due on Feb. 15 to gauge the possibility of an interest rate hike by the Bank of Japan at its policy meeting on Feb. 20-21.

STOCKS TO WATCH -- Rinnai Corp The gas appliance maker said three people have died and 12 fallen ill in cases of carbon monoxide poisoning after using two models of Rinnai heaters.

-- Nikko Cordial Corp.

Japan's third-biggest brokerage is looking to create an in-house auditing section as part of efforts to bolster oversight after an accounting scandal, the Nikkei business daily reported on Saturday.

-- Tokyo Kohtetsu and Osaka Steel Co. OS> Shareholder activist Ichigo Asset Management said on Friday that one fifth of shareholders' votes are against the takeover of steelmaker Tokyo Kohtetsu by Osaka Steel, as a rare proxy battle in Japan heats up.

-- Mitsui Fudosan Co. Ltd.

Japan's top property firm posted a 14 percent gain in net profit for the first nine months of the business year on Friday, helped by brisk demand for office space, and lifted its full-year profit estimate by 11 percent.

-- Millea Holdings Inc.

The insurer cut its net profit forecast for this business year on Friday by 13 percent because of weaker-than-expected revenues from a life insurance unit and an increase in planned payouts.

It also announced plans to spend up to 41.4 billion yen ($339.5 million) to buy back up to 10 million of its own shares, and said a state-backed body would sell 16.16 million of its shares.

-- House Foods Corp. T> The processed food maker announced on Friday it would introduce steps to protect itself from a hostile takeover, a move local media said was aimed at preparing for a possible takeover attempt by activist fund and major shareholder Steel Partners.

Steel Partners owns about 8 percent of House Foods, which said it planned to establish a framework that would allow it to issue equity warrants or new shares to prevent an unwanted takeover that could hurt company value.

-- Mizuho Financial Group Inc. T> Mizuho Corporate Bank, the core banking unit of Mizuho Financial Group, was recently named financial adviser for a Panama Canal expansion project worth about $5.25 billion, the Nikkei business daily reported on Saturday.

-- Dai Nippon Printing Co. T> The printing company posted a 16.5 percent fall in group recurring profit for the nine months to Dec. 31 on Friday, citing sluggish sales and falling prices of colour filters used to make flat panels and screens for rear projection televisions.

Dai Nippon cut its full-year profit forecast by 8 percent to 105 billion yen. It said it expected to be burdened by high prices for raw materials while also facing tough competition with rivals in the printing industry.

-- Toyota Motor Corp. T> Japan's top automaker plans to build a new plant by 2010 in southern India concentrating on inexpensive smaller cars, the Nikkei business daily reported on Monday.

-- Colowide Co. Ltd. T> Colowide, one of Japan's largest pub and restaurant operators, said on Friday it expects to post a group net loss of 796 million yen for the year to March instead of the 102 million yen profit it had previously projected.

Colowide said its business has been hurt by a crackdown on drink driving in Japan, an outbreak of norovirus, and the high price of beef and fish. It lowered its annual sales forecast by 2 percent to 117.4 billion yen.

Reuters AD VP0518 a barrel after OPEC members Saudi Arabia and Qatar and the cartel's head of research said OPEC may steer away from further supply cuts.

Financial markets in Japan will be also looking ahead to GDP data due on Feb. 15 to gauge the possibility of an interest rate hike by the Bank of Japan at its policy meeting on Feb. 20-21.

STOCKS TO WATCH -- Rinnai Corp The gas appliance maker said three people have died and 12 fallen ill in cases of carbon monoxide poisoning after using two models of Rinnai heaters.

-- Nikko Cordial Corp.

Japan's third-biggest brokerage is looking to create an in-house auditing section as part of efforts to bolster oversight after an accounting scandal, the Nikkei business daily reported on Saturday.

-- Tokyo Kohtetsu and Osaka Steel Co. OS> Shareholder activist Ichigo Asset Management said on Friday that one fifth of shareholders' votes are against the takeover of steelmaker Tokyo Kohtetsu by Osaka Steel, as a rare proxy battle in Japan heats up.

-- Mitsui Fudosan Co. Ltd.

Japan's top property firm posted a 14 percent gain in net profit for the first nine months of the business year on Friday, helped by brisk demand for office space, and lifted its full-year profit estimate by 11 percent.

-- Millea Holdings Inc.

The insurer cut its net profit forecast for this business year on Friday by 13 percent because of weaker-than-expected revenues from a life insurance unit and an increase in planned payouts.

It also announced plans to spend up to 41.4 billion yen (9.5 million) to buy back up to 10 million of its own shares, and said a state-backed body would sell 16.16 million of its shares.

-- House Foods Corp. T> The processed food maker announced on Friday it would introduce steps to protect itself from a hostile takeover, a move local media said was aimed at preparing for a possible takeover attempt by activist fund and major shareholder Steel Partners.

Steel Partners owns about 8 percent of House Foods, which said it planned to establish a framework that would allow it to issue equity warrants or new shares to prevent an unwanted takeover that could hurt company value.

-- Mizuho Financial Group Inc. T> Mizuho Corporate Bank, the core banking unit of Mizuho Financial Group, was recently named financial adviser for a Panama Canal expansion project worth about .25 billion, the Nikkei business daily reported on Saturday.

-- Dai Nippon Printing Co. T> The printing company posted a 16.5 percent fall in group recurring profit for the nine months to Dec. 31 on Friday, citing sluggish sales and falling prices of colour filters used to make flat panels and screens for rear projection televisions.

Dai Nippon cut its full-year profit forecast by 8 percent to 105 billion yen. It said it expected to be burdened by high prices for raw materials while also facing tough competition with rivals in the printing industry.

-- Toyota Motor Corp. T> Japan's top automaker plans to build a new plant by 2010 in southern India concentrating on inexpensive smaller cars, the Nikkei business daily reported on Monday.

-- Colowide Co. Ltd. T> Colowide, one of Japan's largest pub and restaurant operators, said on Friday it expects to post a group net loss of 796 million yen for the year to March instead of the 102 million yen profit it had previously projected.

Colowide said its business has been hurt by a crackdown on drink driving in Japan, an outbreak of norovirus, and the high price of beef and fish. It lowered its annual sales forecast by 2 percent to 117.4 billion yen.

Reuters AD VP0518