UK Stocks -- Factors to watch on July 17

LONDON, July 17 (Reuters) - Britain's FTSE 100 .FTSE is seen gaining
around 0.6 percent, rising for the fifth straight day by financial bookmakers on
Friday as strong U.S. results buoyed investor confidence.

The index closed up 0.4 percent at 4,361.84 on Thursday and is up 5.7
percent this week, on track for its biggest weekly gain since March.

It is seen rising again on Friday after strong results from International
Business Machines Corp (IBM.N) which helped lift stocks in the United States and
in Asia.

"The FTSE has gained more than 5 percent this week, and is likely to close
the week on a high note. With no economic data this morning, look for the buying
trend to continue," said David Evans, market analyst at BetOnMarkets.com.

Investors will watch second quarter results from Citigroup (C.N), General
Electric (GE.N) and Bank of America (BAC.N) for more clues on the corporate
outlook after results from companies including JPMorgan Chase (JPM.N) and
Goldman Sachs (GS.N), earlier this week lifted confidence.

Geopolitical worries may return to the surface after near-simultaneous
bomb-blasts ripped through the JW Marriott and Ritz-Carlton hotels in Jakarta's
business district, killing nine and injuring 42, police said.

* Wall St climbs on tech shares, earnings optimism [ID:nN16439211]

* GLOBAL MARKETS-Asia shares extend gains on earnings [ID:nSP388715]

* Nikkei rises 0.4 pct but capped by political concerns [ID:nT174430]

* TREASURIES-Safety bid, bargain hunting boosts bonds [ID:nLH576407]

* Dollar holds near 6-wk low; earnings, stocks watched [ID:nT287841]

* Gold steady after fall, ETF holdings inch up [ID:nT197907]

* Oil falls towards $61 amid lingering pessimism on economy [ID:nSYD545866]

* Shanghai copper firm, headed for 6 pct weekly rise [ID:nMAN459701]

UK stocks to watch on Friday are:

RIO TINTO (RIO.L)

China has not yet reached a conclusion four that four detained Rio Tinto
staff accused of industrial espionage are guilty and investigations are ongoing,
Australia's Foreign Minister Stephen Smith said on Friday. [ID:nSYD59696] Rio
Tinto said the allegations that employees were involved in bribery of officials
were without foundation. [ID:nSYD386596]

Meanwhile, the global miner says the Alcan plant in Debree, Kentucky has
signed new long-term power contracts that will secure power for the smelting
operations through 2023. [ID:nWNAB8053]

BRITISH AIRWAYS (BAY.L)

The new alliance between United Airlines (UAUA.O) and Continental Airlines
(CAL.N) is pressuring rivals to forge partnerships that could result in capacity
cuts o crowded international routes, the head of BA's U.S. operations told
Reuters. [ID:nN16433218]

ROYAL DUTCH SHELL (RDSa.L)

The oil giant's subsidiary Shell Oil Co said it is considering staff cuts at
its refineries and chemical plants on the U.S. Gulf Coast to reduce costs in the
current recession. [ID:nN17438208]

VEDANTA (VED.L)

The India-focused mining group is planning to expand to steel manufacturing
with a partner, the Mint newspaper reported on Friday. [ID:nBOM389513]

OLD MUTUAL (OML.L)

The insurer said it has appointed Kuseni Dlamini as CEO for South Africa to
succeed Paul Hanratty.

INVENSYS (ISYS.L)

The engineer releases a trading update.

ELECTROCOMPONENTS (ECM.L)

The company releases a trading update.

TODAY'S UK PAPERS

> Financial Times [PRESS/FT]

> Other business headlines [PRESS/GB]

(Reporting by Simon Falush)