Nikkei flat as yen rise offsets machinery orders
* Nikkei pressured as yen rises against dollar, trade thin
* Machinery orders "positive surprise" but little impact * Sources say state bank will give JAL $1.1 bln credit line
* Nikkei, Topix both end flat
By Elaine Lies
TOKYO, Nov 11 (Reuters) - Japan's Nikkei stock average was flat on Wednesday as the yen climbed, offsetting a surprisingly large jump in domestic machinery orders for September and a forecast for a rise in the fourth quarter.
Tech shares such as Advantest Corp (6857.T: Quote, Profile, Research) slipped after rising the previous day, while nonferrous metals makers such as Dowa Holdings (5714.T: Quote, Profile, Research) came under pressure amid concerns over long-term demand. But Japan Airlines Corp (9205.T: Quote, Profile, Research) rose 4.8 percent after sources said the state-owned Development Bank of Japan will offer a 100 billion yen ($1.1 billion) line of credit to JAL to keep the airline from running out of cash. [ID:nBNG509104]
The dollar lost 0.1 percent to 89.67 yen and analysts said the stronger yen was providing some immediate pressure, although they noted the bigger problem was demand.
"In light of the uptrend in overseas markets, the Japanese market is unlikely to rapidly decline, but it will be difficult to buy Japanese stocks due to growing risks in Japan, namely political and fiscal policy risks," said Nagayuki Yamagishi, a strategist at Mitsubishi UFJ Securities.
The benchmark Nikkei .N225 was flat at 9,871.68, up 0.95 point, while the broader Topix .TOPX index was also flat, down 0.15 point at 872.29. Continued...
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