Tokyo stocks ended almost flat Thursday as investors awaited earnings reports by major Japanese companies, while showing little reaction to a senior ruling party member saying canceling this summer's Tokyo Olympics could be an option.

The 225-issue Nikkei Stock Average ended up 21.70 points, or 0.07 percent, from Wednesday at 29,642.69. The broader Topix index of all First Section issues on the Tokyo Stock Exchange finished 6.95 points, or 0.36 percent, higher at 1,959.13.

Gainers were led by marine transportation and mining issues, while precision instrument and electric appliance issues led decliners.

The U.S. dollar stayed in the upper 108 yen range amid a lack of fresh trading cues, dealers said.

The stock market was also sluggish, losing steam after opening higher.

"Mining and oil related issues were higher following overnight rises in U.S. crude oil futures...and shipping firms were bought back after recent losses, but most investors were restrained ahead of the earnings reporting season starting next week," said Maki Sawada, a strategist at Nomura Securities Co.'s Investment Content Department.

The market reacted little to a remark by Liberal Democratic Party Secretary General Toshihiro Nikai, who said canceling the Tokyo Olympics may be an option if the COVID-19 situation worsens, although the Nikkei briefly fell to the negative zone.

The daily tally of infections in Japan hit a two-month high the previous day.

"The economic impact of the Olympic Games is seen as likely to be limited with organizers having banned overseas spectators," said Norihiro Fujito, chief investment strategist at Mitsubishi UFJ Morgan Stanley Securities Co.

"The market had priced in that even if the Olympics were canceled or postponed, it would not have a big minus impact on the economy," he said.

On the First Section, advancing issues outnumbered decliners 1,259 to 845, while 87 ended unchanged.

Among shipping companies, Nippon Yusen climbed 165 yen, or 4.4 percent, to 3,940 yen, Kawasaki Kisen advanced 88 yen, or 3.4 percent, to 2,656 yen and Mitsui O.S.K. Lines added 105 yen, or 2.8 percent, to finish at 3,890 yen.

Some semiconductor-related shares were lower, tracking losses in the tech-heavy U.S. Nasdaq composite index.

Tokyo Electron fell 970 yen, or 1.9 percent, to 48,940 yen, Screen Holdings dropped 340 yen, or 3.0 percent, to 10,960 yen and Advantest declined 280 yen, or 2.6 percent, to 10,490 yen.

Trading volume on the main section sagged to 941.38 million shares from Wednesday's 1,036.28 million shares.

==Kyodo

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