TOKYO, June 12 (Reuters) - Japan's Nikkei share average

fell on Thursday, as a stronger yen prompted a sell-off of

exporters, while declines of U.S. stock futures hurt sentiment.

As of 0200 GMT, the Nikkei was down 0.7% at

38,154.95. The broader Topix slipped 0.38% to 2,778.25.

"Investors sold Japanese equities as they bet Wall Street

would be weak again later in the day, after seeing declines of

U.S. stock futures in Asia hours," said Seiichi Suzuki, chief

equity market analyst at Tokai Tokyo Intelligence Laboratory.

"But the Nikkei closed above the 38,000 level for a fourth

consecutive day, it seems that the index has cleared the first

hurdle for further gains," said Suzuki.

The S&P 500 ended lower overnight, with investors spooked by

Middle East tensions, while a tame inflation report calmed

concerns around tariff-driven price pressures and traders

awaited more details on China-U.S. trade talks.

S&P and Nasdaq futures each fell about 0.4%

in Asia trade.

In Japan, Uniqlo-brand owner Fast Retailing ( FRCOF ) fell

2.1% to drag the Nikkei the most. Chip-making equipment maker

Tokyo Electron ( TOELF ) lost 0.7%.

Automakers fell as the yen gained against the U.S. dollar,

with Toyota Motor ( TM ) and Honda Motor ( HMC ) down 1.6%

and 0.78%, respectively.

A stronger yen typically weighs on exporter shares by

reducing the value of overseas earnings when converted back into

Japanese currency.

Bucking the trend, Nintendo ( NTDOF ) rose 1.33% after the

game maker said it had sold more than 3.5 million Switch 2 units

in the first four days after its launch, making the console the

company's fastest-selling gaming device to date.

Toy maker Konami Group ( KNAMF ) rose 1.6% to give the

biggest support to the Nikkei.