Japan Hot Stocks-Glass makers, Mitsubishi Research, Nippon Elec

TOKYO, Sept 24 (Reuters) - The benchmark Nikkei average fell 1.2 percent and the broader Topix dropped 0.8 percent on Friday.

The following stocks were on the move:



**GLASS MAKERS HIT BY REPORTS OF CHINA RARE EARTH EXPORT BAN**

Shares in Asahi Glass Co, Hoya Corp and other glass makers dropped after media reported China had banned exports of rare earth metals to Japan following the arrest of a Chinese trawler captain near disputed islands.

Some glass makers use abrasive that contains a rare earth element called cerium, whose supply was already tight after the Chinese government cut rare earth exports for 2010 by 40 percent. China dominates the global supply of rare earths.

Asahi Glass was down 3.6 percent at 867 yen, and Nippon Sheet Glass fell 2.1 percent to 183 yen. Hoya, which makes glass memory disks for hard disk drives, dropped 1.7 percent to 2,065 yen.

0200 GMT



**MITSUBISHI RESEARCH UP BEFORE 1ST SECTION LISTING**

Mitsubishi Research Institute surged 8.5 percent to 1,667 yen as the thinktank will on Sept. 29 be promoted to the more prestigous first section of the Tokyo Stock Exchange from the second section.

0143 GMT



**NIPPON ELECTRIC GLASS DOWN ON PROFIT WARNING**

Nippon Electric Glass fell 2.4 percent to 1,104 yen after the maker of glass for LCD TVs issued a profit warning on Wednesday citing production cutbacks at its customers towards the end of the July-September quarter. Markets were closed on Thursday for a national holiday.

Nippon Electric Glass lowered its operating profit forecast to 73 billion yen from a range of 81-87 billion yen for the six months to Sept. 30. A spokesman said the company uses little rare earth elements in its products and that any supply disruption from China would have negligible impact.

0140 GMT



**ORACLE JAPAN DROPS AFTER CUTTING PROFIT FORECAST**

Shares of Oracle Corporation Japan, a unit of Oracle Corp , fell 8.5 percent to 4,070 yen after the company cut its operating profit forecast for the financial year to May 2011 by 8.2 percent on Wednesday. Thursday was a public holiday in Japan.

Oracle Japan revised down its operating profit forecast to 38 billion yen from 41.5 billion yen, citing an expected rise in royalty payments.

0110 GMT



**KOITO DOWN, AUTHORITIES MAY ORDER PRODUCT CHECKS**

Koito Industries Ltd dropped 2 percent to 151 yen after European and U.S. authorities said that airlines may be ordered to check tens of thousands of aircraft passenger seats made by the Japanese manufacturer after a scandal over questionable safety data.

Koito said in February that it had been told by Japan's transport ministry to improve business management over the falsification of fire resistance and strength data in plane seats.

Following recommendations from Japan's JCAB airworthiness authority, safety agencies on both sides of the Atlantic published draft directives that would order airlines to carry out checks of the seats.

0032 GMT



**EXPORTERS SLIDE IN WAKE OF WALL ST FALL, YEN ADVANCE**

Sony Corp and other exporters slipped after U.S. stocks fell on an unexpected rise in weekly first-time jobless claims, a rise that also sent the yen higher against the dollar.

Sony lost 1.2 percent to 2,559 yen, Honda Motor Co shed 1.6 percent to 2,905 yen and chip tester maker Advantest lost 2.3 percent to 1,695 yen.

0009 GMT



((Reporting by Elaine Lies)

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