Nikkei at near 5-mth low on global economy concerns

*Nikkei falls 0.7 percent to near five-month low

*Exporters slide on firmer yen, global economic worries

*Energy-related shares gain as oil holds above $121 (Adds stocks, details)

By Aiko Hayashi

TOKYO, Aug 22 (Reuters) - The Nikkei average fell 0.7 percent on Friday to hit its lowest point in nearly five months, as exporters such as Honda Motor Co (7267.T) slid on a stronger yen and concern about the global economy.

Top lender Mitsubishi UFJ Financial Group (8306.T) and other banks slid after Wall Street analysts predicted further mortgage writedowns for big U.S. banks, and a potential government bailout for mortgage firms Freddie Mac (FRE.N) and Fannie Mae (FNM.N). [.N]

But energy-linked shares such as trading houses and oil and gas field developer Inpex Holdings (1605.T) got a lift on robust gains in oil prices CLc1 to above $121 a barrel. [O/R]

"The trading environment is worse than yesterday as the yen became stronger after yesterday's close and oil prices rose sharply," said Yoshinori Nagano, chief strategist at Daiwa Asset Management.

"Continuing worries about the global economy, including Japan, are also weighing on the market."

The benchmark Nikkei .N225 shed 85.50 points to end the morning session at 12,666.71, its lowest level since April 1.

The broader Topix was down 0.7 percent at 1,216.39.

The dollar was trading around 108.55 yen JPY= against the yen, having fallen from a seven-month high of 110.67 yen hit last week. A stronger yen reduces the value of exporters' profits when they are brought back home.

Kenichi Hirano, operating officer at Tachibana Securities, said losses were limited as the yen was still trading around 108 yen, and because the benchmark had avoided sliding further after breaking below last month's lowest level.

"But even if the market goes to positive territory, selling pressure could mount again as most dealers don't want to hold on to stocks during the weekend under the current situation."

EXPORTERS DOWN

Honda shares slid 2.6 percent to 3,440 yen, while industrial robot maker Fanuc Ltd (6954.T) lost 2.8 percent to 8,100 yen. The stocks were the top two drags on the Nikkei 225.

Amid worries about the U.S. financial system, Mitsubishi UFJ fell 1.6 percent to 797 yen, while No.2 Mizuho Financial Group (8411.T) shed 2.4 percent to 449,000 yen.

Oil prices rose nearly 5 percent to above $121 a barrel on Thursday, putting a dramatic end to a slide of more than $20 since mid-July. [O/R]

That pushed shares in Inpex 2 percent higher to 1.2 million yen.

Among trading houses that make the bulk of profits from their energy and natural resources businesses, Mitsubishi Corp (8058.T) was up 1.9 percent at 3,010 yen and Mitsui & Co (8031.T) gained 2.3 percent to 1,794 yen.

Trade was light on the Tokyo exchange's first section, with 753 million shares changing hands, below last week's morning average of 910 million.

Declining shares beat advancing ones by 937 to 620. (Reporting by Aiko Hayashi; Editing by Edwina Gibbs)