HONG KONG (Thomson Financial) - Hong Kong shares opened flat Monday on caution after oil prices resumed their record-breaking run last Friday, stoking inflation concerns.

Oil prices in New York closed at a record high above $126 on a weakening dollar and a Goldman Sachs (nyse: GS - news - people ) forecast that crude would reach $141 per barrel. Earlier, U.S. oil futures hit an intraday record near $128.

U.S. stocks' mixed finish on Friday on a weak consumer sentiment reading also dampened buying interest. The Reuters/University of Michigan consumer sentiment reading fell to 59.5 in May -- the weakest reading since June 1980.