* FTSEurofirst 300 steady
* TUI leads travel stocks higher after upgrade
* Reckitt rises after earnings update
* Caixabank falls after launching bid for Banco BPI (ADVISORY- Reuters plans to replace intra-day European and UKstock market reports with a Live Markets blog on Eikon (see cpurl://apps.cp./cms/?pageId=livemarkets for site in development)
By Alistair Smout and Danilo Masoni
LONDON/MILAN, April 18 (Reuters) - European shares steadiedon Monday after a weak open, with oil stocks weighing on themarket as crude prices tumbled after a meeting by majorexporters in Doha collapsed without a deal to freeze output.
The STOXX Europe Oil and Gas index slipped 0.8percent, making it the top sectoral loser. Shares in Royal DutchShell, Total and Eni were all downnearly 2 percent.
A deal to freeze oil output by OPEC and non-OPEC producersfell apart on Sunday after Saudi Arabia demanded that Iran joinin despite calls on Riyadh to save the agreement and help propup crude prices.
The pan-European FTSEurofirst 300 index touched itslowest intraday level since Wednesday, before turning higher totrade flat at 1,350.95, following U.S. shares up in afternoontrade.
The index remains over 13 percent off of lows hit inFebruary, after concerns over a slump in oil prices and China'sgrowth knocked European stocks back nearly 20 percent in thefirst few weeks of the year.
"Although we reacted to the downside on the news yesterday,the broader market has recovered," said Atif Latif, director ofGuardian Stockbrokers, referring to the OPEC meeting.
"The overall market is starting to absorb this news moreeasily than we have seen over the last few months, despitevolatility in oil and oil and gas shares."
The rise up from the day's lows was aided by stocks thatbenefit from a low oil price.
Travel and leisure stocks rose 0.6 percent, helpedby the fall in crude prices as oil is a major input cost forairlines and tour operators.
Travel operator TUI was the leading gainer in thesector. It was last up 3.2 percent after Berenberg upgraded thestock to buy from hold.
"TUI continues to deliver a superior performance within itstour operation business. This is reflected in a strongertop-line evolution and also it has had a superior cashgeneration for shareholders," analysts at Berenberg said in anote.
Auto stocks also rose, led by a 2 percent rise inBMW after Goldman Sachs upgraded its rating on thestock to "buy" from "sell".
Spain's Caixabank tumbled 3.4 percent, the topindividual faller on the FTSEurofirst 300, after it said it wasmaking a fresh takeover offer worth around $1 billion for the 56percent of Portuguese lender Banco BPI that it doesnot already own.
Chipmakers such as ARM Holdings and DialogSemiconductor fell 3 and 3.5 percent respectively.Traders linked the drop to a report in the Nikkei business dailysaying that tech giant Apple will continue its reducedproduction of iPhones in light of sluggish sales..
Today's European research round-up
ADVISORY- Reuters plans to replace intra-day European and UKstock market reports with a Live Markets blog on Eikon (see cpurl://apps.cp./cms/?pageId=livemarkets for site in development). In a real-time, multimedia formatfrom 0600 London time through the 1630 closing bell, it willinclude the best of our market reporting, Stocks Buzz service,Eikon graphics, Reuters pictures, eye-catching research andmarket zeitgeist. Breaking news and dramatic market moves willcontinue to be alerted to all clients and we will continue toprovide a short opening story and comprehensive closing reports.
If you have any thoughts, suggestions orfeedback on this, please email mike.dolan@thomsonreuters.com.
Mike Dolan, Markets Editor EMEA.
