By Shinichi Saoshiro
TOKYO (Reuters) - Asian stocks slipped on Friday as Federal Reserve-inspired gains petered out, while the dollar steadied after rebounding from the shock of a surprisingly dovish U.S. central bank.
Japan's Nikkei (N225) shed 0.2 percent and South Korean and Australian shares posted similar losses.
MSCI's broadest index of Asia-Pacific shares outside Japan (MIAPJ0000PUS) was little changed after rallying 1.3 percent the previous day.
U.S. shares fell overnight as the dollar's rebound weighed on oil and other commodity prices, sending energy and material sectors lower. (N)
"Crude oil is falling again and if U.S. equities remain unstable amid differing prospects for a Fed rate hike, it will weigh on global equities," said Junichi Ishikawa, market analyst at IG Securities in Tokyo.
The dollar tumbled across the board, risky assets surged and U.S. debt yields sank after the Fed on Wednesday opened the door further for an interest rate hike but signaled a more cautious outlook for U.S. growth, cooling speculation for tightening in June.
The dollar was little changed at 120.79 yen
Helping the greenback was higher U.S. Treasury yields, which on Thursday bounced modestly from multi-week lows hit on the Fed's dovish-sounding statement. The 10-year Treasury note yielded 1.961 percent (US10YT=RR) after sinking to a five-week trough of 1.899 percent overnight.
The euro was steady at $1.0669
The dollar index was down 0.3 percent at 99.005 (DXY) but still well above a low of 96.628 plumbed midweek.
In commodities, U.S. crude oil was little changed at $43.98 a barrel
U.S. crude has dropped to a six-year low of $42.03 a barrel earlier in the week.