Japan's Nikkei meanders on US trade deal uncertainty; steelmakers jump

By Rocky Swift

TOKYO, July 3 (Reuters) - Japan's Nikkei share gauge swung between gains and losses on Thursday as uncertainty over a trade deal with the United States and the threat of heavy tariffs prompted investor caution.

The Nikkei 225 Index .N225 edged 0.1% lower as of the morning break while the broader Topix .TOPX was down 0.3%.

Prolonged trade negotiations with the U.S. have yet to produce a deal, with President Donald Trump recently threatening even higher tariffs on Japan.

Prime Minister Shigeru Ishiba said on Wednesday he was determined to protect Japan's national interests, while chief trade negotiator Ryosei Akazawa was reported to be organising his eighth visit to the U.S. as early as this weekend.

"If the negotiations do not produce results, it will be a major blow to the Japanese economy," said Nomura strategist Fumika Shimizu.

There were 112 advancers on the Nikkei index against 110 decliners. The biggest percentage losers on the gauge were Muji-brand retailer Ryohin Keikaku 7453.T, down 6%, followed by NH Foods 2282.T, which slid 4.9%.

JFE Holdings 5411.T surged 4.9%, leading an advance among iron and steel makers, which were the biggest gainers among the Tokyo Stock Exchange's 33 industry sub-indexes.