TOKYO, Oct 27 (Reuters) - The Nikkei average fell 1.5 percent on Tuesday as Astellas Pharma sank after saying it was terminating development of an arthritis drug, while resource-linked stocks were hurt by lower oil prices.
Blue-chip exporters such as Honda Motor Co also dragged on the market after U.S. stocks fell on chances that lawmakers may let a federal home buyer tax credit expire.
The benchmark Nikkei slipped 151.77 points to 10,210.85 by the end of morning trade, after rising 0.8 percent the previous day to hit its highest finish in four weeks.
The broader Topix retreated 1.9 percent to 893.35. (Reporting by Aiko Hayashi)