* Nikkei slips 0.4 pct, on track to drop 3 pct this week
* Caution ahead of U.S. jobs data weigh on Nikkei
* Nintendo jumps on upbeat expectations for Pokemon GO mobile game
By Shinichi Saoshiro
TOKYO, July 8 (Reuters) - Japanese stocks turned lower on Friday as investors, grappling with the Brexit uncertainty, nervously awaited the closely-watched U.S. non-farm payrolls report due later in the day.
The Nikkei handed back earlier modest gains and was down 0.4 percent at 15,217.24. The index was on track to fall about 3 percent on the week.
Gaming group Nintendo Co was the highlight of morning trade, jumping 9 percent on expectations that its recently launched Pokemon GO mobile game would attract significant demand in the rapidly growing mobile gaming segment.
Elsewhere, the mood was cautious.
“The market is not in a mood to chase bids higher. It is still unclear how the situation for (Italian bank) Monte Paschi plays out, and moreover, there is the U.S. jobs data to digest,” said Soichiro Monji, chief strategist at Daiwa SB Investments.
Italy’s struggling Banca Monte dei Paschi di Siena said it is working with the authorities to resolve once and for all the problem of bad loans that is undermining its recovery.
The release of the U.S. jobs report later in the session will give investors a brief chance to shift their focus away from the aftermath of Brexit. Economists polled by Reuters expect U.S. employers added 175,000 jobs in June after May’s shockingly low 38,000.
Exporters enjoyed some relief as the yen pulled back a touch. The dollar traded at 100.80 yen after slipping close to the 100 threshold midweek.
Panasonic Corp rose 0.6 percent, Tokyo Electron added 2.9 percent and Toyota Motor Corp climbed 0.6 percent.
Seven & i Holdings fell 1.3 percent after the retail conglomerate reported that its operating profit for the March-May quarter declined by 0.5 percent year-on-year to 81.4 billion yen. ($806.90 million).
The broader Topix shed 0.6 percent to 1,219.04 and the JPX-Nikkei Index 400 was down 0.6 percent at 10,974.64.
$1 = 100.8800 yen Additional reporting by the Tokyo markets team; Editing by Shri Navaratnam