TOKYO, Jan 5 (Reuters) - Japan's Nikkei share average rebounded from a three-month low on Thursday as chip-related stocks rallied in line with U.S. peers, but gains were capped as hawkishness from global central banks clouded the outlook.

The Nikkei ended the morning session up 0.34% at 25,804.12, losing momentum about an hour before the break and paring an earlier advance that had taken it as high as 25,947.10.

The stock benchmark sank as low as 25,661.89 on Wednesday, the first trading day of 2023, a level last seen on Oct. 3.

Chip-making equipment manufacturer Tokyo Electron was the biggest support, adding 50 points to the Nikkei with a 3.83% surge. Chip-testing equipment maker Advantest added 2.42%.

However, the broader market was mixed, with 90 of the Nikkei's 225 components advancing while 127 fell, with eight flat.

The broader Topix index edged 0.05% lower to 1,867.21

Overnight, the Philadelphia SE Semiconductor Index rallied 2.74%, outpacing the 0.75% advance for the S&P 500 index .

Wall Street gains came despite minutes of the Federal Reserve's December meeting showing policymakers remaining committed to controlling inflation despite a decline in the pace of interest rate increases.

Japanese and global markets are also still feeling the impact from the Bank of Japan's shock widening of the band it allows the 10-year government bond yield to move around zero.

"With the outlook increasingly murky (for monetary policy), the rebound in Japanese shares is likely to be capped," said Maki Sawada, a strategist at Nomura in Tokyo, on a conference call with journalists.

Many of the Nikkei's big tech names stood out, with startup investor SoftBank Group rising 1.67%, and Sony gaining 1.62% as it unveiled its prototype electric vehicle at the CES 2023 technology trade show in Las Vegas. Honda, with whom Sony is building the car, rose 0.43%.

The biggest gainer on the Nikkei was Nippon Sheet Glass , rallying 7.59%.

At the other end, air carriers and rail operators slumped amid fading hopes for a big Chinese tourist boost as Japan - along with many other countries - tightened restrictions on mainland travellers due to COVID-19 worries.

Insurance was the worst performer among the Tokyo Stock Exchange's 33 industry groups, dropping 1.52% amid a continued slide in U.S. long-term yields. (Reporting by Kevin Buckland; editing by Uttaresh.V)