"Even if we exclude the impact of April's consumption tax hike, we confirm that the underlying trend of inflation is picking up above the 1 percent level. It is fair to say that Japan has gotten out of its deflation condition," said Junko Nishioka, chief Japan economist at RBS.
Among the biggest losers, Credit Saison lost 3.5 percent while Fujitsu lost 2 percent.
China shares quiet
China's benchmark Shanghai Composite ended flat following a quiet session while the yuan posted its third straight weekly loss against the dollar. For the month, the index posted a 0.6 percent gain.
Real-estate stocks declined despite the country's banking regulator saying that overall property loan risk is controllable and that it would act to prevent any contagion. Gemdale lost 3.7 percent while Poly Real Estate fell 1.6 percent.
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Hong Kong stocks rose 0.3 percent, rebounding from the previous day's 0.3 percent dip.
ASX dips 0.5%
Declining commodity prices weighed on Australia's resource-heavy benchmark S&P ASX 200, but the index still managed to add 0.3 percent gain for the week, its third straight week of gains. For May, it eked out a small 0.1 percent rise.
Atlas Iron lost nearly 5 percent while Mount Gibson fell 4 percent after iron ore fell to new 20-month lows.
Lynas slumped over 17 percent after the firm underwent a share purchase plan with a discounted price of $A0.113 a share.