Europe shares hover near 13-mth high; commods help

                                
 * FTSEurofirst 300 up 0.3 pct; hovers near 13-month high
                                
 * Energy, mining shares advance on strong commodity prices
                                
 * Investors await key U.S. macro-economic data, BoE minutes 
                                
 * For up-to-the-minute market news, click on [STXNEWS/EU]
                                
 By Atul Prakash
                                
 LONDON, Nov 18 (Reuters) - European shares bounced back on
Wednesday to trade near their highest level in more than 13
months, with investors waiting for U.S. inflation and housing
starts figures later in the day for clearer market direction.
                                
 At 0903 GMT, the FTSEurofirst 300 <.FTEU3> index of top
European shares was up 0.3 percent at 1,033.22 points after
falling 0.4 percent in the previous session. A rise above
1,035.59 would be the highest level since October last year.
                                
 The index, which slumped 45 percent last year, is up 24
percent in 2009 and has surged 60 percent since hitting a record
low in early March.
                                
 Energy shares gained ground after crude prices <CLc1> rose
0.7 percent on an industry report showing U.S. crude stocks fell
steeply last week. BP <BP.L>, Royal Dutch Shell <RDSa.L>, BG
Group <BG.L>, Tullow Oil <TLW.L>, Repsol <REP.MC>, Total
<TOTF.PA> and StatoilHydro <STL.OL> added 0.1 to 0.8 percent.
                                
 "Our expectation is that we can add to these gains. The
interest rate environment is very friendly and that should be
good news for companies. The third quarter reporting season has
certainly been very supportive and boosted investors'
confidence," said Henk Potts, equity strategist at Barclays
Stockbrokers.
                                
 "In reality, there will be a little bit of nervousness ahead
of some key data. We will also get a good idea from the Bank of
England's minutes," he added.
                                
 Minutes from the Bank of England's November meeting are due
at 0930 GMT, while U.S. CPI figures and housing starts numbers
will be released at 1330 GMT.
                                
 Miners got strength from higher metals prices as copper
<MCU3>, aluminium <MAL3>, nickel <MNI3> and zinc <MZN3> rose 1.1
to 2.1 percent. BHP Billiton <BLT.L>, Anglo American <AAL.L>,
Antofagasta <ANTO.L>, Rio Tinto <RIO.L>, Xstrata <XTA.L> and
Eurasian Natural Resources <ENRC.L> rose 0.9 to 2.8 percent.
                                
 In industry news, Europe's steel industry has voiced strong
opposition to a planned $116 billion iron ore joint venture by
Rio Tinto and BHP Billiton and has called on European regulators
to oppose the deal. [ID:nSYD425947]
                                
 Banks retreated after early gains. Standard Chartered
<STAN.L>, HSBC <HSBA.L>, Lloyds <LLOY.L> and Royal Bank of
Scotland <RBS.L> fell between 0.8 percent and 1.8 percent. HSBC
traded ex-dividend.
                                
 Cadbury <CBRY.L> added 1.1 percent after news that chocolate
makers Hershey <HSY.N> and Ferrero SpA were considering a joint
bid for the British confectioner that could help it fend off a
hostile takeover by Kraft Foods Inc <KFT.N>. [ID:nNLH570453]
                                
 Dutch grocer Ahold <AHLN.AS> rose 1.2 percent. It plans to
cut costs by more than 350 million euros ($521 million) over
three years as it looks to sharpen its competitive edge in its
main U.S. market and boost its flagging shares. [ID:nLH641711]
                                
 Across Europe, Britain's FTSE 100 index <.FTSE>, Germany's
DAX <.GDAXI> and France's CAC 40 <.FCHI> were 0.1 to 0.5 percent
higher.
 (Editing by Hans Peters)