×

Japan Hot Stocks-Tokai Rika, Shin-Etsu Chemical

TOKYO, Oct 11 (Reuters) - The benchmark Nikkei average

fell 0.6 percent and the broader Topix eased 0.5 percent in early deals on Thursday.

The following stock was on the move:

**TOKAI RIKA HITS 3-YEAR LOW AFTER TOYOTA RECALL**

Tokai Rika Co Ltd, a car parts maker, slumped 9.3 percent to 908 yen, hitting a three-year low, after Toyota Motor Corp

said it would recall more than 7.4 million vehicles worldwide for faulty power window switches, traders said.

Toyota lost 2 percent to 2,884 yen, slightly underperforming a 1.8 percent fall in rival Nissan Motor Co .

0029 GMT

**SHIN-ETSU CHEMICAL GAINS AFTER NOMURA UPGRADE**

Shin-Etsu Chemical Co Ltd gained 1.4 percent to 4,375 yen after Nomura Securities upgraded its rating on the company to 'buy' from 'neutral', citing growth in demand for PVC in the United States.

The brokerage lifted its price target to 5,300 yen from 4,600 yen.

"U.S. indicators published at the beginning of October, including the ISM indices and employment statistics point to a greater likelihood that the U.S. economy and housing sales in particular will remain strong," Nomura said in a note.

"In response, we have raised our estimates for PVC demand in North America through 14/3, and hence raised our earnings forecasts for Shin-Etsu Chemical."

Nomura raised its operating profit forecast for Shin-Etsu by 3.5 percent to 179.5 billion yen for the business year ending March 2014.

0015 GMT

(Reporting by Dominic Lau; Editing by Chris Gallagher)

((dominic.lau@thomsonreuters.com)(+81 3 6441 1917)(Reuters Messaging: dominic.lau.thomsonreuters@reuters.net))

Keywords: MARKETS JAPAN STOCKS HOT/