UK Stocks -- Factors to watch on Oct 19

LONDON, Oct 19 (Reuters) - Britain's FTSE 100 .FTSE index is seen opening
little changed on Monday, steadying after falls in the previous session as
investors look ahead to the next round of U.S. earnings for further clues as to
the pace of economic recovery.

Financial bookmakers see the blue-chip index opening down 1-7 points, or as
much as 0.1 percent, having closed 32.71 points lower on Friday at 5,190.24
after disappointing third-quarter results from Bank of America Merrill Lynch
(BAC.N) and General Electric (GE.N) and a weak U.S. consumer sentiment survey.

No major UK or U.S. economic data will be released during the session on
Monday, however overnight a survey said that asking prices for homes in England
and Wales rose on an annual basis for the first time in more than a year in
October.

Property Web site Rightmove said house prices in England and Wales were
buoyed by a dearth of properties coming onto the market. [ID:nLG188931]

Investors' main macro focus this week will on be the first reading for UK Q3
GDP figures, due on Friday.

British GDP growth will struggle to hit 1 percent in 2010, according to the
Ernst & Young ITEM Club's autumn forecast. [ID:nLI617791]

The Bank of England must continue its policy of quantitative easing because
the financial system has yet to recover fully, Monetary Policy Committee member
Adam Posen said in a newspaper interview on Sunday. [ID:nLI085910]

With the corporate earnings focus remaining across the Atlantic, Apple
(AAPL.O) is among a number of U.S. companies set to report earnings later in the
day.

China will be able to sustain the momentum of its current V-shaped recovery,
setting the stage for stronger growth next year than in 2009, Yao Jingyuan,
chief economist of the National Bureau of Statistics, said on Saturday.
[ID:nPEK169991]

* GLOBAL MARKETS-Asia shares slip on earnings, dlr edges up [ID:nHKG145992]

* Nikkei slips as exporters fall, JAL climbs [ID:nT159281]

* Wall St hit by Bank of America, GE results [ID:nN16364819]

* FOREX-Euro retreats, Aussie tries for lost ground [ID:nT145444]

* TREASURIES-Bonds gain as stocks fall, consumer mood sours [ID:nN16360634]

* Oil steadies after 1-year high above $79 [ID:nSYD484652]

* PRECIOUS-Gold little changed, pressured by firm dollar [ID:nT155964]

* METALS-Copper prices recover in light bargain hunting [ID:nSP460503]

UK stocks to watch on Monday:

LLOYDS BANKING GROUP (LLOY.L)

Short-sellers of Lloyds are queuing up ahead of a possible rights issue,
data showed on Saturday, a sign it would need to offer a heavy discount on its
stock to escape further government control. [ID:nLH574856]

EURASIAN NATURAL RESOURCES (ENRC.L)

The Kazakh miner has received South African Competition Commission approval
for offer for Camec (CFM.L).

ENRC is planning to buy out its founders' African assets, in exchange for
increasing their ownership in the company, The Independent on Sunday reported.
[ID:nLI608603]

SABMILLER (SAB.L)

The brewing giant is in talks with FEMSA's family shareholders about an
equity stake in an enlarged group, a source said, a move that would give it a
strong lead in the race for Mexico's FEMSA Cerveza. [ID:nL9546298]

ROYAL DUTCH SHELL (RDSa.L)

The oil major has reduced gas flaring in southern Iraq by 15 to 20 percent,
and is ready to finalise a deal to develop Iraq's rich gas resources, a Shell
executive told Reuters on Sunday. [ID:nLI589767]

TULLOW OIL (TLW.L)

Shares of Tullow and Anadarko Petroleum Corp (APC.N) may be poised to rise,
following significant oil discoveries in Africa, according to a report in
business weekly Barron's. [ID:nN18235874]

BANKS

British banks could face "regulatory arbitrage" if UK regulators impose
tougher bonus and capital requirements than regulators in other countries, the
chairman of Barclays told the Financial Times. [ID:nLI398625]

The British government could undermine a recovery in the banking sector if
it hits lenders with fresh taxes, Angela Knight, chief executive of the British
Bankers' Association (BBA), told The Daily Telegraph. [ID:nLJ669016]

BARCLAYS (BARC.L)

The bank offered "lucrative" jobs to executives in Lehman Brothers handling
the cut-price sales of assets to the British bank after the collapse of the U.S.
investment bank according to documents filed with a U.S. bancruptcy court, the
Daily Telegraph said.

CADBURY (CBRY.L), UNILEVER (ULVR.L)

Panmure Gordon has urged Unilever to launch an 850 pence-a-share bid for
Cadbury to benefit from a unique opportunity to "become a leading player in the
large, and highly attractive, global confectionery market", said the Daily
Telegraph.

STAGECOACH (SGC.L), NATIONAL EXPRESS (NEX.L)

British bus and rail group Stagecoach has made a 1.65 billion pound ($2.7
billion) all-share merger proposal to rival transport operator National Express,
The Sunday Telegraph reported. [ID:nLI598465]

PETROPAVLOVSK (POG.L)

The gold producer issues a trading update.

BROADCASTERS

The Conservatives would reverse UK government plans to make the BBC [BBC.UL]
share 130 million pounds ($211.1 million) of the television licence fee with
other broadcasters, the shadow culture secretary told the Financial Times.
[ID:nLJ670812]

YELL GROUP (YELL.L)

The debt-laden British yellow pages publisher's lenders are inching towards
a crucial loan amendment that will allow its planned 500 million pounds equity
issue to go ahead, banking sources said on Friday. [ID:nLG270514]

DEBENHAMS (DEB.L)

John Lovering, the chairman of the British department store retailer, will
announce this week that he will stand down from the post next year, The Sunday
Times reported. [ID:nLI592652]

ST IVES (SIV.L)

The printer posts full-year results.

SENIOR (SNR.L)

The engineer issues a trading update.

TODAY'S UK PAPERS

> Financial Times [PRESS/FT]

> Other business headlines [PRESS/GB]

(Reporting by Tricia Wright)