* Exporters and financials suffer as yen strengthens * 9,500 seen as support By Dominic Lau TOKYO, April 9 (Reuters) - Japan's Nikkei share average fell 1.1 percent and looked set to put in its fifth day of losses on Monday after a disappointing U.S. jobs report showed the U.S.
economic recovery remained sluggish, while a stronger yen weighed on exporters. Exporters and financials came under pressure after they led the Nikkei rally in January to March, when the index gained more than 19 percent to log its best first-quarter performance in 24 years. The Nikkei benchmark has fallen 5.2 percent since April 2 and five straight days of declines would mark its longest losing streak since November. "We are already in the 9,500s now. We will see if that 9,500 provides support. If not, our technical analyst is looking for the 9,300 handle (for support)," said Naomi Fink, Japan equity strategist at Jefferies. "It's an interim correction. We went, perhaps, a little too far, too fast." Deutsche Bank said in a note that domestic investors were net buyers of Nikkei futures contracts by 87.3 billion yen ($1.1 billion) last week and historically, when they are net buyers it tends to be negative for the stock index over the subsequent two weeks. By the midday break, the Nikkei was down 102.54 points at 9,585.91, holding above its 50 percent retracement of its fall from February to November last year, near 9,511, and its 13-week moving average near 9,506. It hit a fresh four-week low of 9535.33 in early trade. Honda Motor Co Ltd lost 1.8 percent, Nissan Motor Co Ltd fell 2.3 percent and TDK Corp sagged 2.7 percent, while Japan's top investment bank Nomura Holdings dropped 2 percent. The broader Topix dropped 1.1 percent to 817.08. U.S. payrolls grew by 120,000 in March, worse than the forecast gain of 203,000 jobs. The unemployment rate dipped to 8.2 percent from February's 8.3 percent. THIN VOLUME Trading volume on the main broad was light at the midway point, with less than 39 percent of its full daily average for the past 90 days, as Australia, Hong Kong and the UK markets are closed for Easter Monday. "It's really quiet ... we have a lot of earnings next week," a senior trader at a foreign bank said. Investors were also cautious ahead of the Bank of Japan's two-day policy meeting ending on Tuesday. The BOJ is expected to refrain from easing monetary policy this week, holding fire until a more thorough assessment of the economy two weeks later which may show further action is needed to nudge inflation up towards its 1 percent target. The central bank will hold another meeting on April 27. Stock valuations on the Nikkei at the Friday close imply an earnings-per-share compound annual growth rate of 0.5 percent for the index as a whole over the next five years, data from Thomson Reuters StarMine showed. That means the market is pricing the index as if EPS growth will be 0.5 percent every year over the five-year period, on a compound basis. This is down from 1.5 percent in mid-March but up from minus 0.8 percent in January. Implied five-year EPS CAGR for the S&P 500 is 4.0 percent. However, the Nikkei offers a dividend yield of 2.4 percent, more than S&P 500's 2 percent, StarMine data showed.