Nikkei edges lower as Fanuc, Tokyo Electron dive; Fed in focus
* Fanuc, Tokyo Electron take hefty points off Nikkei
* Weak smartphone, chip demand take toll on exporters - analyst
By Ayai Tomisawa
TOKYO, July 29 (Reuters) - Japan's Nikkei share average edged down on Wednesday morning hit by sharp falls in Fanuc Corp and Tokyo Electron after they cut their full-year forecasts, while the market awaited a policy decision from the U.S. Federal Reserve.
The Nikkei share average dropped 0.4 percent to 20,240.37 in mid-morning trade after opening a tad higher.
The Fed ends a two-day policy meeting later in the day with markets divided on whether it will take a hawkish or dovish stance.
Traders said that investors were also cautious due to recent volatility in Chinese share markets.
Ranked the most traded stock by turnover, factory automation robot maker Fanuc Corp stumbled as much as 14 percent to 19,985 yen, the lowest since February. It cut its net profit forecast to 623.3 billion yen from a previously forecast 680.1 billion yen for the year through March, hit by slowing demand in the smartphone industry and uncertainty over corporate spending in China.
Tokyo Electron Ltd dived 11 percent to 6,593 yen, after it cut its full-year operating profit forecast to 95 billion yen from 112 billion yen. Continuación...