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Asia stocks dropped on Friday due to a fresh record high in oil. Crude prices surged to a new peak above 124 dollars a barrel as funds continued to pour into the market. China's largest refiner Sinopec fell sharply by midday as high oil prices increased their operating costs. Japan's Nikkei dropped 2 percent (13655.34), posting its first weekly decline in eight weeks. The benchmark index was dragged down by Toyota after the world's biggest automaker forecast a larger-than-expected profit decline. Other exporters such as Honda and Sony also fell sharply on a strong yen. But Australian shares bucked the trend by rising more than 1 percent by midday as strong commodity prices lifted resource firms and on a strong financial sector. The world's top gold miner, BHP Billiton rose more than 3% by midday. National Australia Bank, the nation's top lender by assets reported an 8 percent rise in first-half profit, sending its shares up. Kitty Bu, reporting for Reuters COMPANIES MENTIONED: SYMBOLS: