TOKYO, May 1 (Reuters) - Japan's Nikkei share average

edged higher on Thursday as investors awaited the Bank of

Japan's latest interest rate decision, and developments in the

U.S. trade talks with Tokyo's top negotiator in Washington.

The Nikkei rose 0.4% to 36,177.63, as of 0150 GMT,

with the BOJ's policy announcement due some time in the late

Tokyo morning or early afternoon.

The broader Topix was flat.

The tech-heavy Nikkei was buoyed by a 6.3% jump for

chip-testing equipment maker Advantest ( ADTTF ), as it tracked

after-hours advances for U.S. tech megacaps Meta Platforms ( META )

and Microsoft ( MSFT ) on strong financial results.

Japan's central bank is widely expected to leave rates

steady, while cutting growth forecasts. Investors will be more

focused on what BOJ Governor Kazuo Ueda has to say on the impact

of U.S. trade policy in the board's thinking about when to next

raise interest rates.

Market-implied odds for a quarter-point hike by year-end are

currently little better than a coin toss, according to LSEG

calculations.

Later in the day, Japanese economy minister Ryosei Akazawa

is likely to hold his second round of talks on a tariff deal.

U.S. President Donald Trump said on Wednesday that deals

with Japan, South Korea and India may be close.

"Any progress in these negotiations, and although it will be

little by little, we should see calm return to Japanese

equities, and the Nikkei could recover to the 37,000 level,"

said Wataru Akiyama, a strategist at Nomura Securities.

Trade uncertainty continued to weigh on shipping shares,

with the sector dropping 2.8% to be the worst

performer among the Tokyo Stock Exchange's 33 industry groups.

The Nikkei's biggest decliner was Murata Manufacturing ( MRAAF )

, which tumbled nearly 15% after reporting financial

results that disappointed investors.