TOKYO, June 3 (Reuters) - Japan's Nikkei share average

edged up in early trading on Tuesday, with chip-related stocks

tracking overnight gains in their U.S. peers.

However, fallers outnumbered risers on the benchmark index,

and a stronger yen pressured automakers' stocks.

The Nikkei advanced 0.5% to 37,651.27, as of 0127

GMT, set to gain after two sessions of losses. Among its 225

constituents, 102 rose, 121 fell, while two were unchanged.

The broader Topix, by contrast, was up less than

0.1%. A subindex of growth shares added 0.3%, while

value shares slipped 0.2%.

"This is not a case of strong buying leading the market,"

said Maki Sawada, an equities strategist at Nomura Securities.

Along with the headwind from a stronger yen, investors are

also cautious about global trade developments, particularly

between the U.S. and China, she said.

U.S. President Donald Trump's administration wants countries

to provide their best offer on trade negotiations by Wednesday,

as officials seek to accelerate talks with multiple partners

ahead of a self-imposed deadline in just five weeks, Reuters

reported.

Trump and Chinese President Xi Jinping were likely to have a

call soon to iron out trade differences, Treasury Secretary

Scott Bessent said on Sunday, although Monday saw an angry

rejection from China's Commerce Ministry of U.S. accusations

that Beijing violated their trade agreement.

The safe-haven yen strengthened as far as a one-week high of

142.40 per dollar on Tuesday. A firmer currency

reduces the value of overseas revenues for Japan's exporters.

Toyota Motor ( TM ) and Honda ( HMC ) lost 0.5% and 0.8%,

respectively. Toyota ( TM ) shares showed little reaction to domestic

media reports that Toyota Industries ( TYIDF ) would accept its

$42 billion takeover bid. Toyota Industries ( TYIDF ) rose 1%.

Chip-testing equipment maker and Nvidia supplier Advantest ( ADTTF )

led gains among semiconductor stocks, climbing 3.6%.

Heavily-weighted Uniqlo owner Fast Retailing ( FRCOF ) and

Sony ( SONY ) also helped lift the Nikkei, rising 1.8% and 2.3%,

respectively.