Nikkei edges up in choppy trade amid volatility in currency market

lunes 20 de junio de 2016 22:46 GYT

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By Ayai Tomisawa

TOKYO, June 21 (Reuters) - Japan's Nikkei share average edged up on Tuesday morning in choppy trade, but gains from hopes Britain will stay in the European Union were limited as many investors steered from risk amid currency market volatility.

The Nikkei rose 0.5 percent to 16,050.97 in midmorning trade after traversing positive and negative territory.

While expectations Britain will stay in the EU in Thursday's referendum supported sentiment, the chance U.S. Federal Reserve Chair Janet Yellen will make dovish comments later on Tuesday weighed on the dollar against the yen. The yen stood at 103.88 to the dollar, near its 22-month high of 103.555 set last Thursday.

"With Yellen's congressional testimony and the UK referendum on our doorstep, markets all around are exercising caution," said Andrew Meredith, co-managing director at Tyton Capital Advisors.

Bookmakers' odds have shown "Remain" gaining traction, with Betfair putting the implied probability of such an outcome at 72 percent on Monday, up from 60-67 percent on Friday.

Shares of Japanese exporters were mixed, with Toyota Motor Corp and Honda Motor Co flat and Tokyo Electron Ltd rising 1.4 percent.   Continuación...