Indian shares seen higher; metals in focus

MUMBAI, Dec 29 (Reuters) - Indian shares may start higher
on Tuesday, tracking gains in global markets, on optimism over
the global economic recovery and robust December quarter
earnings for domestic companies.

Metal majors such as Hindalco (HALC.BO) and Sterlite
Industries (STRL.BO) will be in focus on firm base metal
prices.

Earlier in the day, London copper prices leapt almost 2
percent to a 16-month peak when trading resumed after the
Christmas break, chasing gains made in Shanghai over the
holiday period. [ID:nSGE5BS00J]

Telecom majors such as Bharti Airtel (BRTI.BO) and Reliance
Communications (RLCM.BO) will be closely watched after media
reports said India is expected to delay the auction of the
third-generation wireless spectrum to February from January.
[ID:nSGE5BS01Z]

Asian shares were mixed with the MSCI's measure of Asian
markets other than Japan .MSCIAPJ rising 0.1 percent by 0339
GMT, while Japan's Nikkei .N225 was down 0.3 percent.

The Nifty India stock futures in Singapore SINc1 were up
0.2 percent, hinting the domestic market may open higher.

On Thursday, the 30-share BSE index .BSESN rose 0.75
percent to 17,360.51, its highest close since May 2008.

Indian markets were shut on Friday and Monday for
holidays.
----------------MARKET SNAPSHOT AT 0334 GMT----------------

INSTRUMENT LAST PCT CHG NET CHG
S&P 500 .SPX 1127.78 0.12% 1.300
USD/JPY JPY= 91.73 0.12% 0.110
10-YR US TSY YLD US10YT=RR 3.846 -- -0.002
SPOT GOLD XAU= 1103.1 -0.23% -2.500
US CRUDE CLc1 $78.48 -0.37% -0.280
DOW JONES .DJI $10547.08 0.26% 26.98
ASIA ADRS .BKAS 128.28 -0.01% -0.01
-------------------------------------------------------------

STOCKS TO WATCH

* National Mineral Development Corp (NMDC.BO), after the
Times of India reported on Saturday the government is hoping to
raise over 230 billion rupees from the sale of a stake in the
iron ore miner. [ID:nSGEBP00G]

* Panacea Biotec Ltd (PNCA.BO) after it said the board will
consider and approve a buyback of shares on Dec 30.
[ID:nSGE5BN0BD]

FACTORS TO WATCH
* For technical analysis double click on www.reutersindia.net
* Indian rupee seen weakening on firmer dlr; shares eyed
[INR/]
* Dollar holds firm vs yen and euro
[FRX/]
* Oil hits five-week high on U.S. cold, optimism
[O/R]
* Global stocks, oil rise on economic optimism
[MKTS/GLOB]
* US STOCKS-Market dips; airlines fall on security worries
[.N]
* For closing rates of Indian ADRs
INADR
(Reporting by Ami Shah and Ketan Bondre; Editing by Kim
Coghill)