Tokyo stocks survived an early scare Monday, with the key Nikkei average sliding below 10,000 for the first time in five months, before recording a mixed bag of results in response to Friday's plunge on Wall Street.

The 225-issue Nikkei stock average dropped 13.35 points, or 0.13 percent, to close at 10,189.01. At one point it sank to 9,982.24.

The broader Topix index of all first-section issues edged up 1.73 points, or 0.17 percent, to 991.44.

Commenting on the Nikkei's temporary plunge Monday morning, Prime Minister Junichiro Koizumi said, "There is no quick remedy (to improve the economy). The government's policy to revitalize the economy through reforms will not change."

Chief Cabinet Secretary Yasuo Fukuda emphasized that the government's economic assessment has not been affected by Monday's events on the stock market.

"The economy is improving," Fukuda said. "This assessment has not changed."

He added the stock market plunge was just a temporary market fluctuation prompted by the situation in the U.S.

The government has declared that the economy has finally bottomed out. Observers maintain, however, that the U.S. economic situation could have severe repercussions for the Japanese economy, which is heavily dependent on exports.

With the Dow Jones industrial average having fallen 390 points on Friday, its seventh-biggest one-day points decline, stocks in Tokyo opened lower on broad futures-led selling.

But bargain hunters -- thought to be public pension funds -- snapped up shares after the Nikkei fell below 10,000 for the first time since Feb. 21 on an intraday basis.

This activity helped lift the index close to 10,300 at one stage.

Buying of issues less prone to fluctuations in the dollar-yen rate, such as railways and utilities, bolstered the Nikkei, as did the dollar's stability against the yen, brokers said.

Investors generally adopted a wait-and-see attitude in the afternoon, however, stating they wished to see the performance of U.S. stocks later in the day.

"It was not a surprise to see the Nikkei sink below 10,000 because the U.S. economy -- Japan's largest export market -- appears to remain sluggish, especially the high-tech sector," said Masatoshi Sato, senior strategist at Mizuho Investors Securities Co.

Investors are expected to stay on the sidelines until Thursday, when Sony and NEC release their earnings for the April-June quarter.

Fujitsu will release its earnings for the same period on Friday.

"The market's near-term course remains murky, given the strong yen and slump in U.S. equities markets," said Yutaka Sugiyama, equity general manager at UFJ Tsubasa Securities Co. "I don't see any good reasons for investors to snap up shares right now."

Mizuho's Sato said that by the end of September, the Nikkei will probably test the 9,500 line.