Nikkei Trails Wall Street Lower With Caution

Japan’s Nikkei index fell on Friday, in line with Wall Street’s decline Thursday night, on caution about the prospects of an earlier-than-expected reduction in the US Federal Reserve’s stimulus.

The Nikkei fell 0.36% to close at 27651.51 points, but it moved away from the low level it had recorded in morning trading at 27641.14 points. The broader Topix index lost 0.34% to 1,928.77 points, also partially recovering from early losses.

A market trader at a local stock company said that buyers who thought the shares looked like a bargain here entered, giving some support to the market.

The Nikkei rose 2.32% this week, its biggest rise since May, after rebounding from its lowest level in nearly eight months reached last week.

on Friday, declines in Nikkei heavyweights weighed on the index as a whole, with retailer Fast, which operates Uniqlo stores, down 1.13%, and medical supplies maker Terumo Corp. down 1.78%.