Indian shares seen slightly up; earnings watched

MUMBAI, Oct 26 (Reuters) - Indian shares may open flat to
slightly higher on Monday, tracking their Asian peers, but
investor concerns on stretched valuations may check the gains.

Top vehicle maker Tata Motors (TAMO.BO) and drug maker
Ranbaxy (RANB.BO) are due to announce their September quarter
results in the day.

"We should open flat to slightly positive. But overall the
weakness that we saw last week is likely to continue as most
positives are already priced in," said Ambareesh Baliga,
vice-president at Karvy Stock Broking.

Shares in energy giant Reliance Industries (RELI.BO) will
be closely watched, after they slid 4 percent on Friday, to
their lowest close in almost seven weeks after partner Hardy
Oil and Gas (HAOG.L) said a well the companies drilled in a
block off India's east coast was dry. [ID:nBNG504805]

"In case we see further correction in RIL (Reliance
Industries), we see it as a buying opportunity," said Baliga.

Top car maker Maruti Suzuki (MRTI.BO) will be in focus
after it said on Saturday its quarterly net profit rose 93
percent meeting the street view. [ID:nBOM164898]

Asian shares were positive with the MSCI's measure of Asian
markets other than Japan .MSCIAPJ up 0.2 percent by 0341 GMT
GMT, while Japan's Nikkei .N225 rose 0.7 percent

Hong Kong markets are closed for a public holiday.

The Nifty India stock futures in Singapore SINc1 were
trading 0.16 percent higher, indicating the domestic market
could open with a slightly positive bias.

On Friday, the 30-share BSE Index .BSESN closed 0.13
percent higher at 16,810.81.
----------------MARKET SNAPSHOT AT 0340 GMT----------------

INSTRUMENT LAST PCT CHG NET CHG
S&P 500 .SPX 1079.6 -1.22% -13.310
USD/JPY JPY= 91.72 -0.45% -0.400
10-YR US TSY YLD US10YT=RR 3.4937 -- 0.004
SPOT GOLD XAU= $1055.1 0.11% 1.150
US CRUDE CLc1 $79.72 -0.97% -0.780
DOW JONES .DJI 9972.18 -1.08% -109.13
ASIA ADRS .BKAS 123.48 -1.61% -2.02
-------------------------------------------------------------
STOCKS TO WATCH

* Shares of Infosys Technologies Ltd (INFY.BO) after a
report by Barron's said the firm's shares could be headed for a
fall as the company approaches the expiration of some
beneficial tax breaks and rising competition from its peers.
[ID:N2553952]

FACTORS TO WATCH
* For technical analysis double click on www.reutersindia.net
* Indian rupee to gain in line with higher Asian units
[INR/]
* FOREX-Sterling extends losses, dlr makes modest gains
[FRX/]
* NYMEX-Oil extends fall below $80 on recovery doubts [O/
R]
* GLOBAL MARKETS- Stocks, oil slide on recovery worries
[MKTS/GLOB]
* US STOCKS- US STOCKS-Wall St falls on weak industrials;
transports drag
[.N]
* For closing rates of Indian ADRs
INADR
(Reporting by XXXX and Ketan Bondre; Editing by Jarshad
Kakkrakandy)