TOKYO, Oct 2 (Reuters) - Japan's Nikkei share average

edged lower in early trade on Wednesday, after escalating

tensions in the Middle East left investors with little appetite

for riskier assets as markets awaited further developments.

The Nikkei was down 1.4% at 38,113.55 as of 0007

GMT, while the broader Topix was down 0.7%.

Iran launched ballistic missiles on Tuesday, spurring vows

from Israeli Prime Minister Benjamin Netanyahu that its arch foe

would pay for the attack. Tehran said any retaliation would be

met with "vast destruction", raising fears of a wider war.

U.S. stocks ended lower on Tuesday, with the Nasdaq losing

more than 1%, as a risk-off mood spread following news of Iran's

attack.

Losses among Japanese shares were widespread, including

major names like Sony Group Corp ( SONY ), Tokyo Electron ( TOELF )

, SoftBank Group and Fast Retailing ( FRCOF ).