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By Junko Fujita
TOKYO, April 2 (Reuters) - Japan's Nikkei share average
fell on Thursday, reversing earlier gains, after U.S. President
Donald Trump did not provide a clear sign for the end of the
Middle East war against Iran.
The Nikkei was down 1.6% at 52,867 as of 0216 GMT, after
rising as much as 0.97% earlier in the session.
The broader Topix also erased gains, falling 0.98%
to 3,635.18.
Trump, in a televised speech, said the U.S. military had
nearly completed the goals it had set out to accomplish in its
war with Iran and that the conflict would end soon.
"There was nothing new in his speech. If he had declared the
immediate end of the war, the equity market could have surged,"
said Kazuaki Shimada, chief strategist at IwaiCosmo Securities.
"Instead, investors started selling stocks to book profits
from the recent rally, as if they had expected this."
The index rallied this week on hopes for a de-escalation in the
war, after logging its worst month since the 2008 global
financial crisis in March.
The index rose to a 25-day average of around 54,258 earlier
in the session, which Shimada said was a signal that the Nikkei
had bottomed out.
Chip-making equipment maker Tokyo Electron ( TOELF ) fell 2.6% to
drag the Nikkei down the most. Chip-testing equipment maker
Advantest ( ADTTF ) fell 5.7%.
Uniqlo-brand owner Fast Retailing ( FRCOF ) reversed early
gains to fall 0.58%.
Heavy machinery maker Mitsubishi Heavy Industries ( MHVYF )
rose 2.6%.