Europe Factors-Shares seen dipping; miners in focus

(Adds futures prices, details, company news, updates snapshot table)
 LONDON, April 4 (Reuters) - European shares were set to dip on Monday, as
traders consolidate hefty gains from the previous session when a key index hit a
three-week high, with heavyweight commodity stocks expected to come under
pressure from weaker copper prices.
 Some caution was expected to prevail ahead of policy meeting by the European
Central Bank (ECB), which looks set to lead the way in shifting interest rates
higher as it tries to quell rising inflation.
 By 0624 GMT, futures for the Euro STOXX 50 (STXEc1: Quote, Profile, Research), for Germany's DAX
(FDXc1: Quote, Profile, Research) and for France's CAC 40 (FCEc1: Quote, Profile, Research) were down 0.1 to 0.4 percent.
 The pan-European FTSEurofirst 300 (.FTEU3: Quote, Profile, Research) index of top shares closed up 1.5
percent at 1,141.40 points on Friday, supported by strong U.S. jobs data and
ended the week up 1.5 percent in the second straight week of gains.
 Mining shares were expected to feel the pinch after copper prices (CMCU3: Quote, Profile, Research)
prices fell on fears over demand from top consumer China.
 Investors were expected to stay on the sidelines ahead of the ECB as well as
the Bank of England's policy meeting on Thursday, with bets increasing that the
BoE as well as the U.S. Federal Reserve may begin rolling back ultra loose
monetary policy as inflation levels rise and the economy shows modest signs of
improvement.
 "As the economy turns the corner and gets back on its feet, central bankers
are beginning to see inflation as a greater threat than lack of growth," said
Jonathan Sudaria, dealer at Capital Spreads.
 "With a near certain expectation of a hike from the ECB this week, traders
will be questioning how far behind the BoE and FOMC are from following suit."
 Further evidence of price increases is likely to be reflected in the euro
zone producer price numbers for February at 0900 GMT, with the data expected to
show an increase of 6.7 percent year-on-year, from 6.1 percent in January.
 In the euro zone periphery, the president of the European Financial
Stability Facility (EFSF) said the fund is ready to help Portugal if needed, he
told La Tribune in an interview published online on Saturday. [ID:nLDE731057]
   
----------------------MARKET SNAPSHOT AT 0617 GMT----------------------  
                                  LAST        PCT CHG        NET CHG 
S&P 500                  (.SPX: Quote, Profile, Research)  1,332.41        0.5 %             6.58 
NIKKEI                  (.N225: Quote, Profile, Research)  9,718.89       0.11 %             10.5 
MSCI ASIA EX-JP (.MIASJ0000PUS: Quote, Profile, Research)    582.11       0.78 %             4.50 
EUR/USD                  (EUR=: Quote, Profile, Research)      1.4238     0.08 %           0.0012 
USD/JPY                  (JPY=: Quote, Profile, Research)     84.16       0.02 %           0.0200 
10-YR US TSY YLD    (US10YT=RR: Quote, Profile, Research)      3.450       --                0.00 
10-YR BUND YLD      (EU10YT=RR: Quote, Profile, Research)      3.365       --               -0.01 
SPOT GOLD                (XAU=: Quote, Profile, Research) $1,429.79       0.13 %            $1.81 
US CRUDE                 (CLc1: Quote, Profile, Research)   $108.43       0.45 %             0.49 
-----------------------------------------------------------------------      
 * GLOBAL-Asia stocks hit 3-yr high; euro extends gains  [ID:nL3E7F403C]
 * Wall St gains on job growth; earnings next hurdle     [ID:nN01146427]
 * Nikkei up on yen, Wall St but uncertainty weighs      [ID:nL3E7F4061]
 * U.S. rates markets focus on ECB decision              [ID:nLDE73301D]
 * FOREX-Euro extends gains; yen seen broadly weaker     [ID:nL3E7F4027]
 * Gold edges up on high oil prices, euro strength       [ID:nL3E7F404H]
 * Copper slips; jobs jubilation swamped by China demand [ID:nLDE73301U]
 * Oil climbs to 2-1/2 yr peak on Mideast, jobs data     [ID:nL3E7F405I]
 
 COMPANY NEWS:
 
 VIVENDI (VIV.PA: Quote, Profile, Research)
 The entertainment group has struck a deal to buy Vodafone's (VOD.L: Quote, Profile, Research) 44
percent stake in France's second-biggest telecom operator, SFR, for 7.75 billion
euros, giving it full control of its most lucrative unit. [ID:nLDE71O0VT]
 
 SANOFI-AVENTIS (SASY.PA: Quote, Profile, Research)
 The French drugmaker completed its improved $20.1 billion offer for Genzyme
(GENZ.O: Quote, Profile, Research), allowing it to begin merging the U.S. biotech firm into its business
and add rare diseases to its growth areas. [ID:nLDE72U0E2] 
 
 DEUTSCHE BOERSE (DB1Gn.DE: Quote, Profile, Research)
 Nasdaq OMX Group Inc (NDAQ.O: Quote, Profile, Research) and IntercontinentalExchange Inc (ICE.N: Quote, Profile, Research) face
serious hurdles to their unsolicited bid for NYSE Euronext (NYX.N: Quote, Profile, Research) that could
prevent their offer from being accepted. [ID:nN01259828] 
 
 INTESA SANPAOLO (ISP.MI: Quote, Profile, Research)
 Italy's largest retail bank Intesa Sanpaolo (ISP.MI: Quote, Profile, Research) is mulling a capital
increase of around 5 billion euros ($7.06 billion), two banking sources told
Reuters on Saturday. [ID:nLDE73107X]
 
 EUROPEAN CARMAKERS
 Car makers reported strong March U.S. sales figures, with Volkswagen up 22.7
percent from the year-earlier month, Porsche up 36 percent, BMW up 22 percent,
Mercedes-Benz up 12.6 percent and Audi up 14.3 percent. [ID:[ID:nN01199996] 
 
 BP (BP.L: Quote, Profile, Research) 
 Four Russian oligarchs will make a renewed attempt to block the oil major's
proposed $16 billion share-swap deal with Rosneft (ROSN.MM: Quote, Profile, Research), saying it
contravened an existing shareholder agreement, the Daily Telegraph said.     
 Separately, BP will resume drilling in the Gulf of Mexico in July, less than
15 months after an oil spill disaster that killed 11 workers, the Financial
Times said
 
 SPANISH BANKS 
 Spanish savings bank Caja Mediterraneo (CAHM.MC: Quote, Profile, Research) said late on Friday it
would seek 2.8 billion euros ($3.96 billion) in state funds via the state-backed
restructuring fund, or FROB, to meet new tough capital requirements.
[ID:nLDE73022Q] 
 Separately, newspaper ABC reported financial sources as saying that savings
bank Ibercaja is studying a tie-up with CAM. 
 
 SOLVAY (SOLB.BR: Quote, Profile, Research), RHODIA (RHA.PA: Quote, Profile, Research)
 Belgian chemicals and plastics maker Solvay said it will buy French
chemicals company Rhodia, valuing the firm at 3.4 billion euros and ending a
year-long hunt for a takeover deal. [ID:nLDE66P0SY] 
 
 CAIRN ENERGY (CNE.L: Quote, Profile, Research)/VEDANTA RESOURCES (VED.L: Quote, Profile, Research)
 India's top economic policy panel is expected to take a decision on
Wednesday on a long pending approval for Cairn Energy Plc's (CNE.L: Quote, Profile, Research) deal to sell
a stake in its Indian unit to Vedanta Resources (VED.L: Quote, Profile, Research), the Economic Times
reported on Monday. [ID:nL3E7F40C1]
 
 GAS NATURAL
 Gas Natural (GAS.MC: Quote, Profile, Research) is preparing a takeover bid for Greece's state-owned
natural gas company Depa, valued at close to 1 billion euros, El Economista
reported without naming sources.
 
 DEUTSCHE TELEKOM (DTEGn.DE: Quote, Profile, Research) 
 A U.S. lawmaker with oversight of technology expressed concern that AT&T
Inc's (T.N: Quote, Profile, Research) plans to take over T-Mobile USA would stifle innovation in the
wireless market. [ID:nN01190339]
 
 (Reporting by Harpreet Bhal)

Europe Factors-Shares seen dipping; miners in focus