Nikkei rebounds from 8-1/2 month low; Japan Tobacco plunges on merger news
* Nikkei is down 8.5 pct for the month
* Short-selling ratio hits fresh record high on Tuesday
* Japan Tobacco dives as deal seen expensive - traders
By Ayai Tomisawa
TOKYO, Sept 30 (Reuters) - Japan's Nikkei share average rebounded on Wednesday after tumbling in the previous day, with strength in exporters and financials offsetting weak industrial production and a sharp drop in Japan Tobacco.
The Nikkei rose 2.0 percent to 17,268.80 points by midmorning trade after stumbling 4.1 percent on Tuesday to the lowest closing level since mid-January on fears of slowing global growth.
For the month, it is poised to post more than an 8.5 percent drop, the biggest monthly decline since January 2014.
Analysts said most investors were staying on the sidelines before key economic data later in the week.
The Bank Of Japan's tankan survey and Chinese Purchasing Managers' Index (PMI) are on Thursday, while the U.S. jobs data is due out on Friday. Continuación...