* Caution before upcoming earnings results caps market
* Little impact from ruling party defeat at Tokyo poll
* Brewers climb on report of merger between Kirin and Suntory
By Shinichi Saoshiro
TOKYO, July 13 (Reuters) - Japan's Nikkei average slipped 0.5 percent on Monday on caution ahead of upcoming corporate earnings releases, though the market's losses were limited as the yen pulled back from five-month highs against dollar.
Kirin Holdings Co gained 7.8 percent after brewer Suntory Holdings Ltd said on Monday it was considering options including a merger with Kirin, which would create one of the world's largest beverage and food firms.
"The yen being pushed back from its recent highs is buoying the market," said Takahiko Murai, general manager of equities at Nozomi Securities.
Market participants said there was limited impact from a big defeat for Japan's ruling Liberal Democratic Party (LDP) in a Tokyo poll on Sunday, which is considered a barometer for the national election.
"The election outcome was as expected so it is having a limited impact on the market so far. Even if the opposing party was to oust the LDP in a national election, the impact on stocks can't be gauged until the winning party's policies are hammered out," said Murai.
Closely watched U.S. earnings releases this week include those of Goldman Sachs and Intel on Tuesday, JP Morgan Chase on Thursday and Bank of America on Friday.
The benchmark Nikkei fell 50.52 points, or 0.5 percent, to 9,236.76 after an eight-day slide which took it to a seven-week low on Friday.
The broader Topix fell 0.3 percent to 869.65.
Kirin gained 7.8 percent to 1,392 yen. Other brewers also advanced, with Sapporo Holdings rising 8.7 percent to 549 yen and Asahi Breweries Ltd gaining 2.9 percent to 1,400 yen.
Shares of Daiichi Sankyo gained 3.6 percent to 1,723 yen after U.S. health officials approved Eli Lilly and Co and Daiichi Sankyo's blood thinner Effient after several delays, and the companies said they would launch the drug "in the coming weeks."
Daiichi Sankyo's research partner, Ube Industries, which jointly developed the drug, jumped 3.9 percent to 265 yen.
The yen pulled back to 92.80 yen after rising to a fresh high below 91.80 yen against the dollar on Friday. (Editing by Edwina Gibbs)