TOKYO, Aug 27 (Reuters) - Japan's Nikkei share average

rose on Wednesday, lifted by gains in Nvidia ( NVDA ) supplier Advantest ( ADTTF ),

as investors awaited the U.S. chipmaker's outlook due before the

Tokyo market opens on Thursday.

The Nikkei rose 0.32% to 42,529.95, by the midday

break, after swaying between modest gains and losses during the

session.

The broader Topix fell 0.11% to 3,068.5.

"The market is focused on Nvidia's ( NVDA ) outlook. Its results will

probably beat market expectations, but the bar for Nvidia ( NVDA ) to

satisfy the market with its outlook is high," said Shoichi

Arisawa, general manager of the investment research department

at IwaiCosmo Securities.

"Any comments from the company could also become

market-moving cues."

Nvidia ( NVDA ) is set to announce its quarterly report

later in the day. The chipmaker's report could fuel or dampen

Wall Street's rally in AI-related stocks, as well as Japan's

Nikkei, which is heavily weighted by chip-related stocks.

Advantest ( ADTTF ) rose 3.48% to give the biggest boost to

the Nikkei.

Camera maker Nikon ( NINOF ) surged 20.74% to 1,746.5 yen, a

daily limit high, after Bloomberg reported EssilorLuxottica SA

, the maker of Ray-Ban sunglasses, is exploring a

potential deal to increase its stake in the company.

The market weighed the yen's direction as expectations for

the Federal Reserve's interest rate cuts grew, said Shigetoshi

Kamada, general manager at the research department at Tachibana

Securities.

"If the Bank of Japan raises its policy rate anytime soon,

the yen, which has been trading within a range, could spike. The

market is worried about that move," said Kamada.

Automakers fell, with Toyota Motor ( TM ) and Honda Motor ( HMC )

losing 0.31% and 0.425, respectively.

Bank shares fell, with Mitsubishi UFJ Financial Group ( MUFG )

and Sumitomo Mitsui Financial Group ( SMFG ) falling

0.79% and 0.51%, respectively.