(Updates at 0600GMT)

TOKYO, May 31 (Reuters) - Japan's Nikkei share average

ended more than 1% higher on Friday, rebounding from a one-month

closing low in the prior session, as U.S. bond yields fell

further after a batch of data suggested the Federal Reserve has

scope to cut rates this year.

The Nikkei rose 1.14% to 38,487.9 after a three-day

slide. It was down 0.4% for the week but up 0.2% for the month.

The broader Topix rose 1.7% to 2,772.39. It gained

1.09% for the week and 1.07% for the month.

"The market reacted too much in the previous session to the

jump in Treasury yields, which subsequently lifted Japanese

yields," said Kentaro Hayashi, a senior strategist at Daiwa

Securities.

U.S. Treasury yields slid overnight after data showed the

world's largest economy grew more slowly in the first quarter

than previously estimated as consumer spending was revised

lower.

Japan's 10-year bond yield rose to 1.07% but

was off from a near 13-year peak of 1.1% scaled on Thursday.

Investors are now awaiting the U.S. Personal Consumption

Expenditures (PCE) price index data, the Fed's preferred measure

of inflation, due later in the day for further direction.

Uniqlo-brand owner Fast Retailing ( FRCOF ) gained 1.59% to

provide the biggest boost to the Nikkei. Technology investor

SoftBank Group ( SFTBF ) rose 3.24%.

All of the Tokyo Stock Exchange's 33 industry sub-indexes

rose, with the brokerage sector jumping 4.25% to

become the top performer.

Tokyo Electron ( TOELF ) fell 2.52% to become the biggest

drag and percentage loser on the Nikkei. Robot maker Fanuc ( FANUF )

fell 0.97%.

Of the 225 Nikkei components, 206 stocks rose and 19 fell.