UK Stocks -- Factors to watch on May 1

LONDON, May 1 (Reuters) - Britain's FTSE 100 .FTSE index is seen opening
down 0.9 percent on Friday, according to financial bookmakers, after sharp gains
in the previous two sessions and tracking weaker U.S. markets after Chrysler's
bankruptcy filing.
Chrysler filed for bankruptcy on Thursday and announced an industry-changing
deal with Fiat (FIA.MI), after being pummelled by sliding auto sales and an
inability to reach agreement on restructuring its debt. [ID:nLU940906]

Financial spreadbetters expected the UK benchmark to open down 35 to 40
points, after gaining 1.3 percent on Thursday to post its biggest monthly
percentage rise since 2003.

Activity was likely to be thin as major continental European markets are
closed for the May Day holiday and ahead of a bank holiday in the UK on Monday.

On the economic front, Japan has edged back into deflation, less than two
years after it last escaped it, and joblessness is rising at a record rate,
adding to the strains for the Japanese economy even as hard-hit manufacturers
shows signs of stabilising. [ID:nT316908]

Tokyo's Nikkei average .N225, however, rose 1.3 percent.
Chinese manufacturing, on the other hand, gained further momentum last
month, a survey showed, adding to tentative evidence from around the world that
the global economy may soon be on the path to recovery. [ID:nPEK279290]

Meanwhile, Mexico began shutting down parts of its economy to slow the
spread of a new flu strain as more cases were found in the United States and
officials urged increased worldwide precautions against an imminent pandemic.

(For more on the flu, double click on [nFLU])

* Dow, S&P dip on Chrysler bankruptcy, MetLife off late [ID:nN30318151]

* Nikkei inches up on yen, sheds bulk of early gains [ID:nT371623]

* Oil falls, Chrysler bankruptcy tempers econ hope [ID:nSP400139]

* Yen drops to two-week lows as confidence grows [ID:nSYD253147]

* TREASURIES-Slip in Asia as stocks prove resilient [ID:nHKG283240]

* Gold steady as ETF stays flat, optimism dampens [ID:nT367858]

UK stocks to watch on Friday are:

LLOYDS BANKING GROUP (LLOY.L)

The part-nationalised lender said its top executive will get no salary
increase this year, and could be forced to repay any bonuses they receive.
[ID:nLU614683]

LAND SECURITIES (LAND.L)

Land Securities is to co-invest in new retail ventures looking to open in
the UK as part of an innovative strategy to help fill its shopping centres, the
Financial Times said.

RIO TINTO (RIO.L)

Australia should veto China's planned $19.5 billion investment in the miner,
Australia's main opposition Liberal Party said on Friday as political opposition
to the deal continued to grow. [ID:nSYD152241]

WPP (WPP.L)

Advertising group WPP has started looking for a successor to chief executive
Martin Sorrell, one of the most powerful men in the global media industry, who
has been at the helm for more than 20 years, the Guardian said.

RETAILERS

Retailer John Lewis said its weekly department store sales fell 5.1 percent
compared to a year earlier, but sales from its food group rose 6.1 percent.
[ID:nL1507028]

ITV (ITV.L)

Michael Grade, executive chairman of broadcaster ITV, said on Thursday he
supported proposals from regulator Ofcom to create independent groups to produce
regional news, funded by part of the licence fee. [ID:nLU554456]

FIRSTGROUP (FGP.L)

Tube Lines, the London Underground contractor at the centre of a
multibillion pound funding row, is close to appointing a senior executive at
FirstGroup as its new boss, the Guardian reported.

RENTOKIL (RTO.L)

The company is due to issue its trading update.

PEARSON (PSON.L)

The company is due to hold its AGM.

FORTH PORTS (FPT.L)

The company is due to issue its trading update.

TODAY'S UK PAPERS

> Financial Times [PRESS/FT]

> Other business headlines [PRESS/GB]

(Reporting by Dominic Lau; editing by Mike Nesbit)