Nikkei drops on Cyprus bailout worries; monetary easing hopes trim fall

TOKYO, March 26 (Reuters) - Japan's Nikkei average edged lower on Tuesday as a senior euro zone official said the Cyprus rescue could be a template to deal with other banking problems in the region, though the decline was capped by hopes for Japan's bold monetary easing. The benchmark Nikkei closed down 0.6 percent to 12,471.62 and the broader Topix index dropped 0.3 percent to 1,044.42 in moderate trade.