(Updates with levels as of 0230 GMT)

By Brigid Riley

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

dipped in morning trade on Tuesday, as domestic technology

shares followed declines on Wall Street to drag on the index,

while a pause in the yen's push higher supported buybacks of

export-related shares.

The Nikkei was down 0.1% at 38,055.62 by the midday

break, while the broader Topix rose 0.3% to 2,669.84.

The S&P 500 finished lower on Monday, with AI heavyweight

Nvidia ( NVDA ) dipping ahead of its quarterly report this week.

The tech-heavy Nasdaq also declined.

Japanese technology shares tracked their U.S. peers lower,

with chip-related majors Tokyo Electron ( TOELF ) and Advantest ( ADTTF )

, which counts Nvidia ( NVDA ) among its customers, dragging the

overall Nikkei. The shares fell 2.5% and 2.1%, respectively.

Investors were taking a wait-and-see approach ahead of

chip star Nvidia's ( NVDA ) earnings report on Wednesday, said Masahiro

Ichikawa, chief market strategist at Sumitomo Mitsui DS Asset

Management.

Nvidia ( NVDA ) has been at the center of market enthusiasm for

artificial intelligence, and there is pressure on the firm to

pull out stellar results.

"We're in a situation where the bar has risen," Ichikawa

said, adding that if Nvidia's ( NVDA ) earnings come in as expected,

there might be some brief selling of tech shares.

Technology shares saw the biggest percentage losses, with

Lasertec Corp ( LSRCF ) down 4.7%, followed by Disco Corp ( DISPF )

losing 3.1% and Hitachi ( HTHIF ) down 2.8%.

However, the yen's climb higher against the dollar

stalled on Tuesday, prompting investors to buy back

export-related stocks that took a hit in the previous session as

the yen touched a three-week high of 143.45.

Sony Group ( SONY ) was up 1.7%, Honda Motor ( HMC ) gained

1.4%, and Toyota Motor ( TM ) rose 1%.

The yen's pause helped lift the broader Topix index into

positive territory, while limiting losses on the Nikkei.

Among the Tokyo Stock Exchange's 33 industry sectors, mining

rallied 2% and oil and coal rose nearly 1%

after oil prices surged overnight on concerns of possible supply

disruptions.