Jan 17 (Reuters) - Foreign investors were net buyers of

Japanese stocks in the week to Jan. 11, buoyed by a rally in

chip-related shares and optimism over domestic corporate

outlook.

They snapped up 313.3 billion yen ($2.02 billion) worth of

Japanese stocks on a net basis last week, following net sales of

74 billion in the prior week, data from Japan's Ministry of

Finance showed.

Shares of chip-making equipment maker Tokyo Electron ( TOELF )

, chip-testing equipment maker Advantest ( ADTTF ) and

chip-making device supplier Disco all surged over 10%

last week, although the Nikkei fell 1.77%.

The Nikkei hit 38,055.68 on Thursday, its weakest level

since Dec. 2, 2024, while the chips-related trio of stock also

face significant pressure amid concerns over a strengthening yen

and potential rate hikes by the Bank of Japan (BOJ) next week.

Meanwhile, foreign investors sold off 501.2 billion yen in

long-term Japanese bonds on a net basis, marking a third week of

sales in the past four.

Short-term bills attracted a record 2.58 trillion yen in

foreign inflows, the highest since May 4, 2024.

At the same time, Japanese investors racked up a sharp 589.1

billion yen worth of foreign equities, their biggest weekly net

purchase since Aug. 24, 2024.

They also snapped up 173.7 billion yen worth of short-term

debt securities and 756.7 billion yen worth of long-term bonds

following three consecutive weeks of net sales.

($1 = 155.4200 yen)