TOKYO, Aug 23 (Reuters) - The following stocks are on the move on Friday. **NIPPON SYSTEMWARE ENDS UP ON IC JV WITH TOPPAN**
Nippon Systemware Co (NSW) closes up 8.14 percent at 1,222 yen after the software house and Toppan Printing Co Ltd announced on Thursday that they have set up a joint venture to develop and sell systems that use integrated circuit (IC) cards.
Toppan, Japan's second-largest printing company, will have a 60 percent stake in the new firm, which will be capitalised at 200 million yen ($1.67 million). NSW will put up the remaining 40 percent.
Toppan expects the company to achieve sales of 10 billion yen three years from now, one-third NSW's total revenue forecast for the current year to March 2003.
Toppan ended up 0.28 percent at 1,075 yen. 0600 GMT
**FURUKAWA ELECTRIC JUMPS ON CONTINUED SHORT-COVER**
Furukawa Electric Co Ltd, the world's second-largest fibre-optics maker, up 11.91 percent or 38 yen at 357, having gained 17.4 percent since marking a year-to-date low on Wednesday on short-covering triggered by firmer U.S. shares.
Large buy orders were placed through Merrill Lynch and Nikko Salomon Smith Barney, a trader said. 0520 GMT
**CHIP EQUIPMENT STOCKS STRONG, CAPEX RISKS REMAIN**
Tokyo Electron Ltd , Japan's largest maker of chip equipment, up 6.76 percent or 390 yen at 6,160, the second-most active issue by value and poised to close up for a seventh session thanks to a rise in U.S. peers and a fall in the yen.
"The current share price appreciation does not really reflect orders momentum...therefore there's a risk that the current rally could come down again," said Merrill Lynch analyst Richard Kaye.
Kaye said further capex revisions by Micron Technology Inc and Samsung Electronics Co Ltd , for example, could pour cold water on the current run for the sector.
"I think (capex revisions) they could be announced...by the end of this calendar year," Kaye said. 0450 GMT **SUMITOMO CHEMICAL DOWN AFTER CUTTING FORECAST**
Sumitomo Chemical Co down 2.7 percent or 13 yen at 469 after falling as low as 468 following the major chemical maker's announcement during afternoon trade that it had cut its group operating profit forecast for the current year.
The company said it now expects an operating profit of 74 billion yen ($617.7 million) on sales of 1.09 trillion yen in the year to March 2003, compared to a previous estimate for operating profit of 77 billion on sales of 1.08 trillion.
Sumitomo's stock had jumped 12 percent in the previous two days amid hopes for rising prices of polypropylene and other materials, although higher raw materials prices such as naphtha have analysts sceptical profits will be boosted by the hikes. 0420 GMT **TRADE RESUMES IN ARAI-GUMI , JUMPS ON AID REPORT**
Struggling mid-size Japanese contractor Arai-Gumi Ltd up 45.28 percent or 24 yen at 77.
Trading resumed in the shares after they were suspended due to a report the firm might receive aid from Sumitomo Mitsui Banking Corp .
The Asahi Shimbun newspaper had said that SMBC, Japan's second-largest banking group, was considering putting together a package for Arai-Gumi worth tens of billions of yen that would centre on debt waivers, although debt-equity swaps were also being considered.
SMBC and Arai-Gumi have both denied the report. 0340 GMT **SOFTWARE FIRMS, SYSTEM DEVELOPERS UP AFTER U.S. PEERS RALLY**
Software developer Nippon System Development Co Ltd up 7.47 percent or 230 yen at 3,310, snapped up following rises in the stocks of Microsoft Corp and other software-related firms in U.S. trading the day before.
Itochu Techno-Science Corp , a systems integrator, up 3.64 percent at 3,420 yen, while Fuji Soft ABC Inc put on 6.41 percent to 4,150 yen. 0135 GMT **CITIZEN WATCH DOWN AFTER PROFIT WARNING**
Japanese watch maker Citizen Watch Co Ltd down 0.71 percent at 698 yen, a day after it issued a profit warning.
Citing damage from a stronger yen and one-off restructuring charges, Citizen Watch said on Thursday it had cut its group net profit forecast by three billion yen to 7.0 billion yen ($58.43 million) for the year to March 2003, with its sales estimate for the period cut by 4.5 percent to 322 billion yen. 0107 GMT **NIPPON STEEL , OTHER STEELMAKERS UP ON U.S. MOVES
Top Japanese steelmakers including industry leader Nippon Steel Corp were up after news on Thursday that the United States had excluded another 178 foreign steel products from the disputed tariffs it imposed in March.
Nippon Steel up 4.79 percent at 175 yen in heavy trading, while Kawasaki Steel Corp up 1.37 percent at 148 yen. 0056 GMT **ASAHI GLASS UP AFTER RAISED OUTPUT REPORT**
Asahi Glass Co up 4.43 percent at 731 yen, snapped up on a newspaper report the firm will in September double output of optical filters in Japan and raise production of LCD-use glass substrate by nearly 70 percent in Japan and Taiwan next year.
The Nihon Keizai Shimbun business daily said Japanese chemical makers are expanding output of parts for liquid crystal displays (LCDs) and plasma display panels (PDPs), in part to meet growing demand in China. 0050 GMT **ROCK FIELD UP AFTER SHINKO STARTS COVERAGE WITH "1" RATING**
Rock Field Co Ltd up 4.86 percent at 2,050 yen after Shinko Securities started coverage on the maker of delicatessen foods with a "1" rating, expecting it to outperform the TOPIX index by more than 10 percentage points over the next six months. 0038 GMT **YAMANOUCHI DIVES AFTER GIVING UP ON PROMISING DRUG**
Yamanouchi Pharmaceutical Co Ltd, Japan's third-largest drugmaker, down 6.19 percent at 2,880, becoming the fourth-biggest loser by percentage on the first section of the Tokyo Stock Exchange despite a broad market advance.
Yamanouchi said on Thursday that it had given up on its planned introduction of a new osteoporosis drug, called YM175, after failing to prove the drug's effectiveness.
A Yamanouchi spokesman said it had been expecting about one billion yen ($8.35 million) in sales from the new drug in the current business year to March, and three billion yen in the following year. 0034 GMT
**SUMITOMO RUBBER UP ON HIGHER FORECAST**
Sumitomo Rubber Industries Ltd, Japan's third-largest tyremaker, up 2.8 percent at 551 yen after the company raised its group earnings forecasts for 2002 on the back of strong exports to the U.S. and cost-cutting.
Sumitomo Rubber raised its group net profit forecast by two billion yen to 8.0 billion yen for the full year to December 2002, and said it expected to post a net profit of 3.10 billion yen in the first half, compared to a previous loss estimate. 0020 GMT **SONY , EXPORTERS FIRM WITH U.S. PEERS, SOFTER YEN**
Sony Corp, the world's largest consumer electronics maker, up 1.64 percent at 5,580 yen, underlining a modest advance for Japan's major exporters on the back of a Wall Street climb and a fall in the yen to a two-week low on the dollar offshore.
Honda Motor Co Ltd , Japan's second-largest automaker, up 1.38 percent at 5,160 yen. Honda gets the bulk of its operating profits from the U.S. market, and a weaker yen boosts those profits when they are converted back into yen. 0015 GMT ($1=119.79 yen)