(Updates with closing prices)

By Junko Fujita

TOKYO, July 13 (Reuters) - Japan's Nikkei share average

closed lower on Monday as investors weighed the corporate

outlook after the renewed Middle East conflict raised oil

prices.

The Nikkei fell 1.92% to 67,242.73, while the

broader Topix lost 0.71% to 4,007.49.

"The market was concerned about increasing costs due to the

rise in oil prices, and this came as the earnings season for

Japanese firms kicked off," said Daisuke Hashizume, a senior

analyst at Daiwa Securities.

Oil prices jumped more than 4% on Monday as energy shipments

via the Strait of Hormuz remained under threat, with the U.S.

and Iran announcing renewed military strikes.

Chip-related stocks dragged the Nikkei lower, with Advantest ( ADTTF )

and Tokyo Electron ( TOELF ) falling 3.39% and 2.25%,

respectively.

Memory maker Kioxia ( KXHCF ) tanked 12.86%.

"As the market eyes memory prices, the Nikkei is being

influenced by South Korea's benchmark index, which is heavily

weighted toward memory makers, such as SK Hynix," said Daiwa's

Hashizume.

The Nikkei extended its losses later in the session as South

Korea's benchmark KOSPI tumbled, triggering circuit

breakers to suspend trading temporarily.

Shares in SK Hynix fell more than 15% on Monday

as investors booked profits, after a high-profile U.S. listing

saw the world's leading AI memory chipmaker surge 12.8% in its

Nasdaq debut on Friday.

In Japan, Yaskawa Electric ( YASKF ) tanked 14.34% to a daily

limit low of 5,972 yen after the robot maker's first-quarter net

profit fell 21.7%.

Gains in bank shares, which came as investors shifted their

focus to value stocks from AI-related shares, capped the Topix's

decline. Mitsubishi UFJ Financial Group ( MUFG ) and Sumitomo

Mitsui Financial Group ( SMFG ) rose 2.31% and 1.63%,

respectively.

Of more than 1,500 stocks trading on the Tokyo Stock

Exchange's prime market, 36% rose, 60% fell, and 2% traded

flat.