Cancellara takes stage at Tour de France

PARIS (Reuters) - Swiss Fabian Cancellara snatched the Tour de France yellow jersey with a smashing victory in the opening time trial on Saturday, while seven-times champion Lance Armstrong made a respectable return to the race he used to dominate.

Hot favorite and 2007 champion Alberto Contador of Spain was second, 18 seconds behind Cancellara. Briton Bradley Wiggins was third, 19 seconds off the pace.

Contador, who was named Astana leader by team manager Johan Bruyneel, lived up to expectations and stamped his authority on the squad with a solid performance.

Neither German Andreas Kloeden, fourth, nor Americans Levi Leipheimer and Armstrong, sixth and 10th respectively, could upset the team hierarchy on a muggy day in the principality of Monaco.

"I am in good form, I now hope to stay at that level," Contador told reporters.

"The atmosphere within the team is good. We must work together to win this Tour de France. Of course, I would like to have another jersey," he added with a grin after taking the polka dot one for the best climber.

Astana sports director Alain Gallopin, the man who has been grooming Contador this season, told Reuters: "It went according to plan. It's a perfect result, because we knew Cancellara would be too strong.

"If Andreas or Levi had been in front, it would not have changed anything within the team. Alberto is our leader."

Cancellara won the time trial at the Beijing Olympic Games last year in similar humid conditions and said: "I am very proud. I did the maximum I could do.

"I did not want to go out too strong in the beginning. But I still started well and I made the difference in the flat part."

Defending Tour champion Carlos Sastre of Spain limited the damage, finishing 21st, one minute six seconds behind Cancellara.

Last year's runner-up Cadel Evans, gunning to become the first Australian to win the Tour, was in fifth place 23 seconds adrift with Luxemburg's Andy Schleck in 18th, one minute behind Cancellara.

Giro champion Denis Menchov started his Tour campaign in disappointing fashion, 1:31 behind in 53rd.

(Editing by Alison Wildey)