Nikkei dips 0.1 pct; Inpex falls, shippers gain

(Updates to midmorning)

TOKYO, June 20 (Reuters) - Japan's Nikkei stock average edged down 0.1 percent on Friday, dented by Inpex Holdings (1605.T) and other oil-related shares after oil prices plunged nearly $5 after China said it will raise domestic fuel prices.

But shipping firms such as Mitsui OSK Lines Ltd (9104.T) benefited from the drop in oil prices, as lower prices take pressure off their profitability.

Oil above $130 is still high and moves to lift prices of oil-related products in China and other emerging countries seem negative for the market, said Soichiro Monji, chief strategist of the equity management department at Daiwa SB Investments.

"They can no longer maintain the prices of those products, leading consumers to refrain from using cars and to avoid using electricity. In other words, it could lead to an economic slowdown," he said.

"Also, Japanese stocks have been solid compared to overseas markets and a considerable amount of profit-taking is in store."

As of 0052 GMT, the benchmark Nikkei .N225 fell 14.26 points to 14,115.91.

The broader Topix shed 0.1 percent to 1,373.63.

Sumitomo Mitsui Financial Group (8316.T) added 1 percent after sources familiar with the matter said that Japan's third-largest bank is considering investing about 100 billion yen ($926 million) in British bank Barclays (BARC.L). [ID:nT157641]

Inpex, the country's biggest oil and gas explorer, slipped 2.2 percent to 1.31 million yen and Nippon Oil (5001.T), Japan's largest oil distributor, fell 1.3 percent to 710 yen.

Mitsui OSK added 0.3 percent to 1,484 yen, while Kawasaki Kisen Kaisha Ltd (9107.T) rose 0.2 percent to 1,026 yen and Nippon Yusen KK (9101.T) gained 1.4 percent to 1,007 yen. (Reporting by Aiko Hayashi; Editing by Brent Kininmont)