US and Japanese central bank meetings will be among the key trading cues for Tokyo investors next week, as they looks for hints of future policy moves on both sides of the Pacific.
The Federal Reserve's comments will be pored over for clues about its plans are for raising interest rates, while analysts expect the Bank of Japan (BoJ) to expand its stimulus plan before year's end.
The Fed's two-day meeting comes after stronger-than-expected US retail sales data this week supplied the latest evidence that the world's number one economy was back on the road to recovery after a wobbly few months at the start of the year.
The figures -- retail sales rose 1.2 percent in May, better than the 1.1 percent gain forecast by analysts -- boosted expectations for a rate rise this year.
"The market will be looking for signs about the chances of a rate hike in September," said Takashi Hiroki, chief strategist at Monex Securities in Tokyo.
The BoJ's two-day policy meeting kicks off on Thursday, while a slate of Japanese shareholder meetings will also be in focus.
On Friday, Tokyo stocks ended 0.12 percent higher as concern about Greece's troubled debt reform talks capped early gains.
The Nikkei 225 index at the Tokyo Stock Exchange added 24.11 points to close at 20,407.08. Over the week, it slipped 0.26 percent.
The Topix index of all first-section shares was up 0.16 percent, or 2.60 points, to 1,651.48. It was down 0.93 percent over the week.
The International Monetary Fund pulled out of crunch talks between Greece and its creditors Thursday, saying a deal was still far off after a five-month stalemate.
The fund announced its officials had returned to Washington from Brussels and that the "ball is very much in Greece's court right now", adding key disagreements were on pensions, taxes and financing
Greece must reach a compromise with its creditors -- the IMF, European Commission and European Central Bank -- before the end of the month to unlock much-needed cash to service its debts. Failure to do so will lead it to default and possibly exit the eurozone.
"The fact the IMF walked out of talks overnight and flew straight back to the States doesn't help sentiment or give you confidence a deal will be done... This will get messy," Evan Lucas, an IG markets strategist in Melbourne, wrote in a client note.
However, investors cheered news that Japan's industrial production in April was revised upward to a month-on-month rise of 1.2 percent from a preliminary 1.0 percent.
Toyota closed up 0.86 percent at 8,394.0 yen and factory robotics maker Fanuc rose 0.84 percent to 26,330.0 yen while Japan's biggest bank Mitsubishi UFJ slipped 0.21 percent to 890.0 yen.
The dollar edged up to 123.76 yen from 123.45 yen in New York. A weaker yen inflates the profitability of major Japanese exporters.
-- Bloomberg News contributed to this report --