Japan's Nikkei trims gains on Iran missile test

(Updates to midafternoon)

TOKYO, July 9 (Reuters) - The Nikkei stock average pared earlier gains on Wednesday afternoon after a report that Iran had test fired missiles, raising fears about a jump in oil prices on heightened tensions in the region.

As of 0459 GMT, the benchmark Nikkei .N225 was up 0.7 percent at 13,118.10, after ending the morning at 13,270.27. The broader Topix was up 0.8 percent at 1,293.29.

"The dollar had been strong and oil prices had been falling, but the missile firing will rekindle inflationary concerns," said Fumiyuki Nakanishi, group manager of the investment information department at SMBC Friend Securities.

The Japanese stock market jumped in the morning, led by financial shares such as Mitsubishi UFJ Financial Group (8306.T: Quote, Profile, Research), after comments from the U.S. Federal Reserve helped eased credit worries.

Iran has test fired nine long- and medium-range missiles, including one that it has previously said could travel as far as Israel and U.S. bases in the region, state media reported. [ID:nDAH916247] (Reporting by Taiga Uranaka; Editing by Chris Gallagher)