Resistance, thermopower, and 89 Y nuclear magnetic resonance ͑NMR͒ measurements have been carried out on YBa 2 ͑Cu 1Ϫx Ni x ͒ 4 O 8 superconductors. Nickel substitution reduces both T c and the pseudogap energy at almost the same rate as does Zn substitution, but unlike Zn substitution, there is no second peak in the 89 Y NMR spectra that can be attributed to Y atoms sited near a local moment. We show that this discrepancy is consistent with there being no local suppression of the normal-state pseudogap about the Ni impurity contrary to the case for Zn. ͓S0163-1829͑96͒03737-X͔