TOKYO, May 8 (Reuters) - Japan's Nikkei share average

fell more than 1% on Wednesday, slipping from multi-week highs

hit in the previous session as profit-taking dominated, while

investors awaited a fresh catalyst to determine the U.S.

interest rate path.

The Nikkei was down 1.37% at 38,303.39 by the midday

break.

The broader Topix was down 1.22% at 2712.70.

With comments from Federal Reserve Chair Jerome Powell and a

recent downside surprise in job growth reassuring markets that

interest rate cuts may still be in store this year, the Nikkei

rallied to a three-week high on Tuesday.

As investors looked for new signals to confirm the timing

and size of potential cuts, U.S. stock markets meandered

overnight, giving Japan's Nikkei little momentum to go on.

"The timing of U.S. interest rate cuts will greatly impact

Japanese stocks," said Masahiro Ichikawa, chief market

strategist at Sumitomo Mitsui DS Asset Management.

If inflation in the United States settles down and the

chance of rate cuts increases, Japanese equities will follow

Wall Street higher, he said.

"I think it's highly likely that the Nikkei will approach

39,000 or 40,000 again by the end of the year."

The index rose to an all-time high of 41,087.75 earlier this

year before retreating sharply in April.

With little news to drive the market on Wednesday, earnings

revenue results and profit-taking drew out winners and losers in

the morning session.

Uniqlo parent firm Fast Retailing ( FRCOF ) slumped 2.4%.

Nintendo ( NTDOF ) declined 4.4% after the gaming company

announced post-trading hours on Tuesday that it expects

operating profit to fall this year.

Automaker Toyota Motor ( TM ) fell 1.6% as investors

awaited the firm's 2024 earnings release due during the

afternoon session.

A drag in U.S. technology shares on Tuesday also generated

some headwinds for Japanese shares.

Chip-making equipment giant Tokyo Electron ( TOELF ) and

chip-testing equipment maker Advantest ( ADTTF ) both slipped

about 1% each.