TOKYO, March 26 (Reuters) - Japan's Nikkei share average

rose on Wednesday as investors held on to hopes that U.S.

President Donald Trump may approach tariffs with more

flexibility than previously anticipated while announcing more

reciprocal levies next week.

The Nikkei was up 0.3% to 37,890.15 by the midday

break, putting it on track for a second consecutive day of

gains. It rose about 1% earlier in the day to touch a one-month

intraday high.

The broader Topix gained 0.2% to 2,802.54.

Market players were leaning into a more optimistic view

after Trump said on Monday automobile tariffs were coming soon

but indicated that not all of his threatened levies would be

imposed next week and that some countries may get breaks.

All three of Wall Street's main stock indexes ended higher

on Tuesday, albeit by small amounts, in a boost to investor

sentiment.

The direction of equities largely depends on U.S. tariff

policies, but Rakuten Securities' chief strategist Masayuki

Kubota sees the Trump administration taking a more measured

approach to avoid a recession in the U.S. and global economy.

"There may be some shock in the market when various

announcements are made in April, but I think that this will

present a good buying opportunity."

Semiconductor-related shares edged higher to support the

overall Nikkei index, with chip-making equipment major Tokyo

Electron ( TOELF ) rising 1.4% and AI-focused startup investor

SoftBank Group gaining 0.2%.

A stronger yen, trading at 150.15 per U.S. dollar,

weighed on Toyota Motor ( TM ) and other Japanese automakers.

Toyota ( TM ) slid 0.6% and Honda Motor ( HMC ) declined 1.2%.

Nintendo ( NTDOF ) surged 5% to become the top percentage

gainer on the Nikkei, while fellow gaming company Konami Group ( KNAMF )

climbed 1.3%.

Entertainment conglomerate Sony Group ( SONY ) added 2.2%.

Among other major shares, Uniqlo parent firm Fast Retailing ( FRCOF )

jumped 1.1%.