TOKYO, Oct 1 (Reuters) - The benchmark Nikkei average and the broader Topix both fell 1.5 percent on Thursday.
The following stocks were on the move:
**OJI PAPER TRIMS LOSS AFTER RAISING HALF-YEAR PROFIT FORECAST**
Oji Paper bounced off an intraday low of 392 yen and was flat at 405 yen after the company raised its forecasts for the six months that ended in September.
Oji Paper raised its half-year group operating profit forecast to 30 billion yen ($334 million) from its previous view of 22 billion yen and raised its net profit forecast to 9 billion yen from 6.5 billion yen.
Trading volume in Oji Paper's shares has picked up, with 8.1 million shares changing hands, already the highest one-day volume since 9.3 million shares on June 12.
0508 GMT
**SANYO ELECTRIC SLIDES FOLLOWING RISE IN COMMON SHARES**
Sanyo Electric Co Ltd slid 7 percent to 198 yen after the company said on Wednesday that Daiwa Securities SMBC had converted 24.6 million preferred shares it owned in Sanyo into common stock, raising the number of Sanyo's common shares by 9 percent to 2.94 billion shares.
0432 GMT
**BANKS SINK ON GROWING WORRIES ABOUT NEW LOAN POLICY**
Banking shares slid after the Nikkei business daily reported a proposed debt relief plan for small and midsize businesses would have the government essentially shouldering interest payments to financial institutions on behalf of borrowers while loan repayments are put on hold for around three years.
Mitsubishi UFJ Financial Group, Japan's top bank, shed 5.4 percent to 456 yen and No.2 Mizuho Financial Group declined 2.8 percent to 173 yen. Sumitomo Mitsui Financial Group dropped 3.8 percent to 3,010 yen.
The banking subindex slid 3.8 percent to become the top percentage decliner among the subindexes.
0200 GMT
**KOMATSU, HITACHI CONSTRUCTION LOWER AFTER AUG SHIPMENT DATA**
Komatsu Ltd, the world's No.2 construction machinery maker, fell 2.1 percent to 1,646 yen, while Hitachi Construction Machinery Co slipped 1.8 percent to 1,893 yen.
Japanese exports of construction machinery to China declined 41 percent in terms of value in August from a year earlier, wider than a 30 percent fall in July, an industry body said on Wednesday.
The bigger fall was due to a high level of exports a year ago, while shipments to China continue to improve, an industry official said.
Overall construction machinery shipments fell 60.7 percent in August.
0200 GMT
**SEVEN & I HOLDINGS RISES AFTER RESTRUCTURING NEWS**
Seven & I Holdings advanced 2.1 percent to 2,195 yen, outperforming its peers, after Japan's largest retailer said it is considering closing nearly 30 supermarkets over four years as it struggles to reverse falls in sales due to weak consumer spending.
The company, which runs more than 12,000 Seven-Eleven convenience stores and operates or licenses out thousands more overseas, is expected to report a tumble in profits for the March to August period later on Thursday.
The retailer subindex dipped 0.1 percent.
0130 GMT
**JAPAN TOBACCO FALLS AFTER BOA MERRILL CUTS RATING** Shares of Japan Tobacco Inc fell 4.1 percent to 295,500 yen after Bank of America Merrill Lynch cut its rating to 'neutral' from 'buy', saying the stock was now trading in their fair value range following recent gains.
0116 GMT
**JAL JUMPS AFTER NEWS GOVT TO BACK JAL**
Japan Airlines Corp (JAL) shot up 5.3 percent to 139 yen after Japan's prime minister and transport minister said the government was ready to support JAL, aiming to dispel worries over the viability of the loss-making carrier.
0047 GMT
**KOBE STEEL ADVANCES AFTER LIFTING ANNUAL FORECAST**
Kobe Steel climbed 2.6 percent to 161 yen after the company raised its group operating profit forecast for the business year to next March to 15 billion yen ($166.9 million) from its previous forecast of 5 billion yen, partly thanks to cost cuts.
0007 GMT
(Reporting by Tokyo bureau)
((Tokyo Markets Team; tokyo.markets@thomsonreuters.com;
+81-3-6441-1872))
((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com))
($1=89.88 Yen) Keywords: MARKETS JAPAN STOCKS HOT Keywords: MARKETS JAPAN STOCKS HOT (Multimedia versions of Reuters Top News are now available for: * 3000 Xtra : visit http://topnews.session.rservices.com * BridgeStation: view story .134 * Reuters Plus: from your WebDSS screen For more information on Top News, visit http://topnews.reuters.com) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The following stocks were on the move:
**OJI PAPER TRIMS LOSS AFTER RAISING HALF-YEAR PROFIT FORECAST**
Oji Paper bounced off an intraday low of 392 yen and was flat at 405 yen after the company raised its forecasts for the six months that ended in September.
Oji Paper raised its half-year group operating profit forecast to 30 billion yen ($334 million) from its previous view of 22 billion yen and raised its net profit forecast to 9 billion yen from 6.5 billion yen.
Trading volume in Oji Paper's shares has picked up, with 8.1 million shares changing hands, already the highest one-day volume since 9.3 million shares on June 12.
0508 GMT
**SANYO ELECTRIC SLIDES FOLLOWING RISE IN COMMON SHARES**
Sanyo Electric Co Ltd slid 7 percent to 198 yen after the company said on Wednesday that Daiwa Securities SMBC had converted 24.6 million preferred shares it owned in Sanyo into common stock, raising the number of Sanyo's common shares by 9 percent to 2.94 billion shares.
0432 GMT
**BANKS SINK ON GROWING WORRIES ABOUT NEW LOAN POLICY**
Banking shares slid after the Nikkei business daily reported a proposed debt relief plan for small and midsize businesses would have the government essentially shouldering interest payments to financial institutions on behalf of borrowers while loan repayments are put on hold for around three years.
Mitsubishi UFJ Financial Group, Japan's top bank, shed 5.4 percent to 456 yen and No.2 Mizuho Financial Group declined 2.8 percent to 173 yen. Sumitomo Mitsui Financial Group dropped 3.8 percent to 3,010 yen.
The banking subindex slid 3.8 percent to become the top percentage decliner among the subindexes.
0200 GMT
**KOMATSU, HITACHI CONSTRUCTION LOWER AFTER AUG SHIPMENT DATA**
Komatsu Ltd, the world's No.2 construction machinery maker, fell 2.1 percent to 1,646 yen, while Hitachi Construction Machinery Co slipped 1.8 percent to 1,893 yen.
Japanese exports of construction machinery to China declined 41 percent in terms of value in August from a year earlier, wider than a 30 percent fall in July, an industry body said on Wednesday.
The bigger fall was due to a high level of exports a year ago, while shipments to China continue to improve, an industry official said.
Overall construction machinery shipments fell 60.7 percent in August.
0200 GMT
**SEVEN & I HOLDINGS RISES AFTER RESTRUCTURING NEWS**
Seven & I Holdings advanced 2.1 percent to 2,195 yen, outperforming its peers, after Japan's largest retailer said it is considering closing nearly 30 supermarkets over four years as it struggles to reverse falls in sales due to weak consumer spending.
The company, which runs more than 12,000 Seven-Eleven convenience stores and operates or licenses out thousands more overseas, is expected to report a tumble in profits for the March to August period later on Thursday.
The retailer subindex dipped 0.1 percent.
0130 GMT
**JAPAN TOBACCO FALLS AFTER BOA MERRILL CUTS RATING** Shares of Japan Tobacco Inc fell 4.1 percent to 295,500 yen after Bank of America Merrill Lynch cut its rating to 'neutral' from 'buy', saying the stock was now trading in their fair value range following recent gains.
0116 GMT
**JAL JUMPS AFTER NEWS GOVT TO BACK JAL**
Japan Airlines Corp (JAL) shot up 5.3 percent to 139 yen after Japan's prime minister and transport minister said the government was ready to support JAL, aiming to dispel worries over the viability of the loss-making carrier.
0047 GMT
**KOBE STEEL ADVANCES AFTER LIFTING ANNUAL FORECAST**
Kobe Steel climbed 2.6 percent to 161 yen after the company raised its group operating profit forecast for the business year to next March to 15 billion yen ($166.9 million) from its previous forecast of 5 billion yen, partly thanks to cost cuts.
0007 GMT
(Reporting by Tokyo bureau)
((Tokyo Markets Team; tokyo.markets@thomsonreuters.com;
+81-3-6441-1872))
((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com))
($1=89.88 Yen) Keywords: MARKETS JAPAN STOCKS HOT Keywords: MARKETS JAPAN STOCKS HOT (Multimedia versions of Reuters Top News are now available for: * 3000 Xtra : visit http://topnews.session.rservices.com * BridgeStation: view story .134 * Reuters Plus: from your WebDSS screen For more information on Top News, visit http://topnews.reuters.com) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.