Tokyo's benchmark stock index fell sharply on Friday as traders turned risk-averse ahead of the US presidential election next week.

The strengthening yen and US employment data out later in the day were other uncertainties for investors.

The Nikkei 225 index ended the day at 38,053, down 1,027 points or 2.6 percent from Thursday's close.

The slide follows an overnight drop in all three major stock indices in the US, led by declines in the shares of major technology companies.

Traders are overall turning cautious before the US votes for a new president on Tuesday, and what the result will mean for the global economy and markets.