Europe Factors-Shares set to dip; German energy sector eyed

 (Adds futures, company news; updates snapshot table)
 PARIS, March 28 (Reuters) - European stock index futures dipped on Monday,
as rekindled worries over Japan's crippled nuclear plant and ongoing violence in
the Arab world prompted investors to take a breather after last week's recovery
rally.
 Shares in German renewable energy companies were seen rising while stocks of
utilities using nuclear energy were seen retreating after Chancellor Angela
Merkel's conservatives lost power in a regional stronghold on Sunday, with early
poll results showing the Greens, buoyed by Japan's nuclear crisis, surging to
their first state premiership. [ID:nLDE72Q0E6]
 By 0625 GMT, futures for Euro STOXX 50 (STXEc1: Quote, Profile, Research) were down 0.28 percent, for
Germany's DAX (FDXc1: Quote, Profile, Research) down 0.38 percent and for France's CAC (FCEc1: Quote, Profile, Research) down 0.04
percent.
 "Traders are starting the week cautiously as the sharp rebound from the
mid-March lows begins to lose steam and several negative cues still stalk the
market," Capital Spreads dealer Jonathan Sudaria said in a note.
 Japan's Nikkei average (.N225: Quote, Profile, Research) fell 0.6 percent on Monday after weekend
reports of soaring radiation levels at the damaged nuclear plant, adding to
concerns over disrupted supply chains and power cuts already weighing on
corporate earnings in the wake of the country's massive earthquake and tsunami.
[.T]
 In Libya, rebels pushed west over the weekend to retake a series of towns
from the forces of Muammar Gaddafi who have been pounded by Western air strikes,
while in Syria, President Bashar al-Assad deployed the army in the country's
main port of Latakia for the first time after nearly two weeks of protests
spread across the country. [ID:nLDE72Q0C3]
 "The popular uprisings in the Middle East are ... raising the question of
whether coalition military activity will be pressured to spread beyond the
existing activity in Libya," IG Markets strategist Ben Potter said in a note.
 "Despite this, both gold and oil prices remain in check so this could at
least suggest that we won't see any quick flight to safety by investors,
although it does seem likely that confidence will remain somewhat lacking in the
shorter term."
 Last week, European shares recorded their biggest weekly gain in six months,
as investors grew increasingly confident that Japan's nuclear crisis and Middle
East unrest would not derail global growth.
 The state election rout for Merkel's conservatives has also weighed on the
euro and German goverment bonds. [ID:nLDE72Q0E6]
 "Having lost two elections in a row in areas where there is normally strong
support there must be doubts about whether Merkel's policy on Europe has the
support of the German people and this could call into question Germany's role as
Europe's cash machine with respect to the bailout fund and any future
agreements," CMC Markets analyst Michael Hewson wrote in a note.
 ----------------------MARKET SNAPSHOT AT  0630 GMT------------------ 
                                      LAST        PCT CHG    NET CHG 
 S&P 500                  (.SPX: Quote, Profile, Research)  1,313.80         0.32 %       4.14 
 NIKKEI                  (.N225: Quote, Profile, Research)  9,478.53         -0.6 %      -57.6 
 MSCI ASIA EX-JP (.MIASJ0000PUS: Quote, Profile, Research)    556.77        -0.40 %      -2.24 
 EUR/USD                  (EUR=: Quote, Profile, Research)    1.4058         0.09 %     0.0012 
 USD/JPY                  (JPY=: Quote, Profile, Research)     81.71         0.47 %     0.3800 
 10-YR US TSY YLD    (US10YT=RR: Quote, Profile, Research)     3.467             --       0.03 
 10-YR BUND YLD      (EU10YT=RR: Quote, Profile, Research)     3.305             --       0.01 
 SPOT GOLD                (XAU=: Quote, Profile, Research) $1,423.69        -0.28 %     -$4.06 
 US CRUDE                 (CLc1: Quote, Profile, Research)   $105.08        -0.30 %      -0.32 
 -------------------------------------------------------------------- 
 
 GLOBAL MARKETS-Euro slips after German election        [ID:nL3E7ES03W]
 Oracle drives Wall St higher; volume stays weak        [ID:nN25284647]
 Nikkei falls; nuclear concerns dictate mood            [ID:nL3E7ES05E]
 Euro pressured by more bad news; dollar firmer         [ID:nL3E7ES039]
 Brent steady near $116; Middle East unrest in focus    [ID:nL3E7ES07Y]
 Gold steady on Mideast, Japan woes; Fed comments weigh [ID:nL3E7ES047]
 LME copper falls, ShFE down; equities, demand weigh    [ID:nL3E7ES079]
 
 COMPANY NEWS:
 
 GERMAN ENERGY STOCKS
 Shares in German renewable energy companies were seen rising while stocks of
utilities using nuclear energy were seen retreating after Chancellor Angela
Merkel's conservatives lost power in a regional stronghold on Sunday, with early
poll results showing the Greens, buoyed by Japan's nuclear crisis, surging to
their first state premiership. [ID:nLDE72Q0E6]
 
 RWE (RWEG.DE: Quote, Profile, Research), E.ON (EONGn.DE: Quote, Profile, Research)
 German utilities may file damage claims against the government's decision to
close seven of the country's 17 nuclear plants, following the crisis in Japan,
German magazine Spiegel reported on Saturday. [ID:nLDE72P06F]
 
 AXA (AXAF.PA: Quote, Profile, Research)
 The Japanese earthquake is seen costing Europe's second-biggest insurer at
least 100 million euros before tax, Chief Executive Henri de Castries told
French television on Sunday. [ID:nLDE72Q0HI]
 
 COMMERZBANK (CBKG.DE: Quote, Profile, Research), DEUTSCHE BANK (DBKGn.DE: Quote, Profile, Research)
 Regulators agreed on Friday to a deal allowing "silent participation", a
controversial form of hybrid capital, to count as core capital in the next round
of stress tests, clearing the way for German banks Commerzbank and WestLB to
pass the exam. [ID:nLDE72O0GN]
 
 VOLKSWAGEN (VOWG_p.DE: Quote, Profile, Research), PORSCHE (PSHG_p.DE: Quote, Profile, Research)
 Debt-laden carmaker Porsche SE has approved an almost 5 billion euro ($7
billion) capital increase, clearing the way for a merger with Volkswagen
(VOWG_p.DE: Quote, Profile, Research), the group said late on Sunday.
 Porsche said it had fixed the subscription price for the new ordinary and
preferred shares -- which will have dividend rights as of Aug. 1, 2010 -- at 38
euros apiece, and the subscription ratio between the two share classes at
1:0.75. [ID:nLDE72Q0IH]
 
 FRANCE TELECOM (FTE.PA: Quote, Profile, Research), DEUTSCHE TELEKOM (DTEGn.DE: Quote, Profile, Research)
 Deutsche Telekom and France Telecom want to cut costs by combining their
operations in Austria and Romania, a German newspaper reported on Sunday, citing
management sources at the French provider. [ID:nLDE72Q0EX]
 
 SPANISH BANKS
 Monday is the deadline for Spain's unlisted savings banks to put forward
their plans of how to raise their capital to tough new minimum levels to the
Bank of Spain. These plans can include stock market listings, private equity
investment or an application for state funds. For a story, click on
[ID:nLDE72P08D]
 
 ASTRAZENECA (AZN.L: Quote, Profile, Research)
 The company said on Monday that British and U.S. authorities had reached an
agreement over its tax affairs in a move that would boost its earnings per share
in 2011. [AZN.L-E]
 
 RIO TINTO (RIO.L: Quote, Profile, Research)
 Investors are betting global miner Rio Tinto (RIO.AX: Quote, Profile, Research) will settle for a
minority stake in Africa-focused Riversdale Mining (RIV.AX: Quote, Profile, Research) after its A$3.9
billion ($4 billion) takeover bid failed to secure control of the firm just
hours away from the offer deadline. [ID:nL3E7ES02L]
 
 SIEMENS (SIEGn.DE: Quote, Profile, Research)
 Europe's biggest engineering conglomerate will create a fourth division
which will have total sales of 21 billion euros from environment-related
activities it will bundle in that new segment, Frankfurter Allgemeine Zeitung
said on Friday, citing sources.
 
 NOKIA (NOK1V.HE: Quote, Profile, Research)
 The Finnish phone maker lost the first round in a patent fight with Apple on
Friday as a U.S. trade panel judge ruled that Apple did not violate any of five
Nokia patents. In its complaint, Nokia asked the trade panel to bar the
importing of Apple devices that infringe Nokia patents, citing in particular the
iPhone 3GS mobile phone and iPod Nano portable music player. Nokia said it was
taking a wait-and-see attitude toward the ITC ruling in its fight with Apple.
[ID:nN25168697]
 
 TELEFONICA (TEF.MC: Quote, Profile, Research)
 Brazilian Telefonica unit Telesp will take over mobile carrier Vivo
(VIVO4.SA: Quote, Profile, Research) in a share swap, Telesp said in a securities filing late on Friday.
For a story, click on [ID:nN26104120]
 
 PARMALAT (PLT.MI: Quote, Profile, Research)
 The Ferrero food group has walked away from a possible Italian consortium
for the dairy company, Il Messaggero said on Sunday without citing sources. Bank
Intesa Sanpaolo (ISP.MI: Quote, Profile, Research) is looking to create another Italian group that could
include dairy company Granarolo and the Venice European Investments fund of
Palladio and Assicurazioni Generali (GASI.MI: Quote, Profile, Research), the paper said.
 Prosecutors are investigating months of share movement in the dairy company
that includes foreign funds' sale of holdings to France's Lactalis, newspapers
said on Saturday.[ID:nLDE72P01Y]
 
 (Reporting by Blaise Robinson)

Europe Factors-Shares set to dip; German energy sector eyed