Nikkei flat as Konami gains but oil prices weigh

TOKYO, Aug 21: The Nikkei share average was little changed on Monday, as advances by Konami Corp. were offset by declines by tyre maker Bridgestone Corp. and other firms sensitive to higher energy costs, after a rise in crude oil prices.

Overall movement was likely to be limited, market participants said, due to both a lack of domestic factors and concern about overheating due to the Nikkei's recent gains.

U.S. crude oil futures were at .51 in early trade, up from below last Friday due to concerns about the brewing nuclear dispute with major oil producer Iran.

''Higher oil prices are having an impact,'' said Toru Otsuka, deputy general manager of investment information at Mizuho Investors Securities.

''At the moment in the Tokyo market ... there is a likelihood we'll see a pause in this advance,'' Otsuka added, citing concerns about overheating.

The Nikkei was 0.48 points lower at 16,105.50 as of 0021 GMT. The broader TOPIX index was down 0.23 percent at 1,635.99.

Shares of game software maker Konami rose 2.6 percent to 2,950 yen. The firm's stock has risen some 17 percent over the last month, boosted after it reported a 95 percent increase in first-quarter operating profit.

But tyre maker Bridgestone declined, dropping 1.1 percent to 2,345 yen. Higher energy costs are a negative for the company.

REUTERS