Nikkei dips but market on course for best quarter in 2 years

* Nikkei slips but broader market gains
* Nikkei on course for biggest quarterly gains in 2 years
* Ex-dividend shares fall sharply
* Japan data surprise on upside, mildly support market

By Hideyuki Sano
TOKYO, Dec 27 (Reuters) - Japan's Nikkei dipped but the
broader market firmed on Friday, and is on course to wrap up the
quarter with the biggest gains since 2017 on the back of easing
U.S.-China trade tensions.
The Nikkei share average .N225 shed 0.36% to 23,837.72,
though about a half of the loss came from Fast Retailing
9983.T , which has a disproportionately big weighting of about
10% in the index.
The Nikkei is still not far from a 14-month top of 24,901
touched in early December, and with only one trading day left
for the year, it could log its best quarter in two years.
The broader Topix .TOPX gained 0.11% to 1,733.18, with
advancers outnumbering decliners by 71 to 29, an unusually high
ratio compared to small gains in the Topix.
The market is supported by hopes that the United States and
China will sign off on an interim trade deal early next year,
with cyclical value shares attracting buying.
"The markets should have an upside bias towards the 24,000
level. Japanese macro-economic data wasn't bad, also helping the
mood," said Takeo Kamai, head of execution at CLSA.
Japan's jobless rate JPUNR=ECI unexpectedly fell to match
a 27-year low hit earlier this year and Tokyo-area consumer
price inflation JPCPIT=ECI unexpectedly accelerated 0.2
percentage point to 0.8%.
On the other, industrial output slipped to the lowest since
early 2013 though the fall was smaller than expected and the
data did nothing to change the view that the manufacturing
sector is bottoming out thanks to a detente in the U.S.-China
trade war.
With many foreign investors absent due to year-end holidays,
retail Japanese traders were considered to be the main players.
Shippers .ISHIP.T were the best performing sector among
the Tokyo Stock Exchange's 33 industry subindexes with a gain of
1.4%.
Banks .IBNKS.T gained 0.9%, with both MUFG 8306.T and
Mizuho Financial 8411.T up 0.7%.
The index of Mothers start-up market .MTHR rose 0.7% while
the Jasdaq market .NOTC , another bourse for start-up firms,
also ticked up 0.6%.
J. Front Retailing 3086.T jumped 5.2% to a one-year high
as investors welcomed the announcement from the department store
operator that it will seek to wholly own Parco 8251.T , an
operator of a commercial complex in which it already has a
dominant stake. Parco shares jumped 21.8% to the day's limit.
Many of the top decliners were those that went ex-dividend
on Friday.
Japan Tobacco 2914.T , which boasts the highest dividend
yield among the Topix Core 30, lost 3.5% while Canon 7751.T
shed 2.5%.
Casual restaurant chain operator Skylark Holdings 3197.T
dropped 3.8% while cosmetics maker Pola Orbis Holdings 4927.T
lost 2.5%.