TOKYO, Oct 5 Japanese stocks will likely open lower and hover around 17,000 on Friday aft

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TOKYO, Oct 5 (Reuters) Japanese stocks will likely open lower and hover around 17,000 on Friday after a nearly flat finish on Wall Street, with exporters such as Kyocera Corp weak on concerns about earnings, sparked by a downward revision by Casio Computer Another notable stock may be Mitsubishi Heavy Industries Ltd The Nikkei business daily said on Friday the heavy machinery maker has chosen U.S. aircraft engine marker Pratt&Whitney to supply engines for the passenger jet it plants to launch in 2012.

''There's a possibility exporters will soften after a negative surprise by Casio, which led investors to worry about earnings also by other exporters,'' said Kazuhiro Takahashi, general manager of the equity marketing department at Daiwa Securities SMBC.

Japan's Casio Computer on Thursday cut its operating profit forecast for the current business year by 30 percent due to sluggish mobile phone sales, missing market expectations.

''But the market is waiting for next trading factors, and the Nikkei is unlikely to break the 17,000 level.'' Investors are waiting for U.S. jobs report on Friday as that could shed light on the economy and the outlook for interest rates there.

Nikkei futures traded in Chicago finished Thursday at 17,110, 10 points below the Osaka close, pointing to a slightly lower opening.

Market participants said the Nikkei will likely trade between 17,000 and 17,200 on Friday after the benchmark finished the previous session down 0.6 percent at 17,092.49.

US stocks barely budged on Thursday as investors shied away from making big bets before Friday's jobs data. The Dow Jones industrial average was up 6.26 points, or 0.04 percent, to end at 13,974.31.

In New York, the dollar was down 0.2 percent to 116.48 yen STOCKS TO WATCH -- IHI T> IHI will consider pulling out of the boiler business in the wake of projections that the heavy machinery and jet engine maker will log an operating loss of 17 billion yen ($146 million) for the year ending March 2008, the Nikkei business daily quoted the president of IHI as saying.

-- Citizen Holdings Co T> Japanese watch maker Citizen said it would buy rival Bulova Corp from conglomerate Loews Corp for about 28.8 billion yen ($247 million) to help it expand in the United States.

-- Aeon Co Ltd T> Japan's second-biggest retail group said on Thursday its second-quarter operating profit fell 19 percent, hit by poor sales at its US apparel unit Talbots Inc -- Toyota Motor Corp T> Toyota unveiled the production model of its Lexus IS F sports car on Thursday as it aims to close the gap with global luxury car heavyweights Mercedes-Benz and BMW AG -- Sony Corp T> Sony said on Thursday it sold a record number of its PlayStation Portables (PSP) in Japan in September as a slimmer and cheaper version of the handheld game machine helped drive demand.

-- Mitsubishi Chemical Holdings Corp T> Japan's largest petrochemical maker, said on Thursday it would issue $1.2 billion worth of convertible bonds to fund capital spending and to repay debt.

-- Hokuriku Electric Power Co T> Japanese utility Hokuriku Electric Power on Thursday cut its recurring profit forecast for the business year to next March by 20 per cent to 4 billion yen ($34 million), taking into account higher oil and coal prices.


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