Japan's Nikkei index rose on Tuesday, and gains in shipping and chip stocks erased losses in the retail sector.

The market in general moved within a very narrow range amid the scarcity of indicators that would move trading trends, and with the absence of many investors due to the end-of-year holidays.

The Nikkei closed up 0.16 percent at 33,305.85 points, while the broader Topix index ended up 0.06 percent.

Trading volume reached about 680 million shares on Tuesday, after falling to the lowest level in eight months at 590 million shares on Monday.

The shipping companies sector witnessed a volatile session, but at the end of trading it was the best performing among the 33 sub-sectors on the Tokyo Stock Exchange, after it rose 1.2 percent.

Nippon Yushin shares rose 1.63 percent, and Mitsui OSK Lines shares rose 1.53 percent.

Chip stocks rose in the afternoon, with Tokyo Electron and Advantest today being the biggest point gainers on the Nikkei index, up 1.1 percent and 1.62 percent, respectively.

Takashimaya Retail shares fell 3.16 percent, despite the company announcing strong profits after the market closed yesterday, Monday, and its stock rose 2.36 percent the previous day before the results were announced.

Fast Retailing, which owns the Uniqlo clothing brand, fell 0.39 percent, and was the biggest loser in points on the Nikkei index.