Taylor Wimpey Share News (TW.)

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* FTSE 100 down 0.3 pct

* Miners hit by weak China factory data

* ITV down 5 pct after ends special div

* Taylor Wimpey falls despite in-line FY

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By Tricia Wright

LONDON, Feb 28 (Reuters) - UK shares fell on Wednesday,dragged down by miners after weak factory data from China, whilecomments from U.S. Federal Reserve Chairman Jerome Powellreignited expectations of more interest rate hikes in the UnitedStates.

The FTSE 100 was down 18.26 points, or 0.3 percent,at 7,264.19 points by 0951 GMT, tracking weakness on Wall Streetafter Powell gave an upbeat view on the U.S. economy and saiddata had strengthened his confidence on inflation.

Traders boosted bets that the central bank would squeeze ina fourth rate hike this year following the remarks.

Miners were the standout fallers in Londonafter growth in China's manufacturing sector in February cooledto the weakest in more than 1-1/2 years.

The weakness was driven by disruption to business activitydue to Lunar New Year holidays and curbs to factory output fromtougher pollution rules, but there are worries of a bigger lossin momentum.

Rio Tinto and BHP Billiton were both downabout 3 percent.

ITV, down 5 percent, topped the FTSE 100 fallers'list, retreating after gains in the previous session when hopesfor a bidding war for Sky after Comcast'soffer for the pay-TV group put broadcasters in the spotlight.

ITV reported a 5 percent earnings drop in a toughadvertising market on Wednesday. Its earnings met analystexpectations, but it ended its special dividend.

"Investors (are) perhaps reacting to the lack of a specialdividend after several years of one-off payments," AJ BellInvestment Director, Russ Mould, said.

"This has prompted speculation in some quarters that thecompany may be considering an acquisition."

Liberum, which takes this view, said STV, the Scottish ITV1licence holder, "would make sense" as a bid target for ITV.

Taylor Wimpey fell 4.4 percent, set for its biggestone-day drop in 9 months, despite full-year results in line withanalysts' expectations and a solid start to 2018.

Worries over a downturn in the housing market have weighedon the industry in recent months, with a decline in mortgageapprovals and the Bank of England raising benchmark interestrates.

And after a powerful rally in 2017, which saw the ThomsonReuters UK Homebuilding sector rise 44 percent,concern is creeping in about valuation. The index is nursing a 9percent year-to-date drop.

"The question is whether following the post-Brexit rally,there is any value left in these stocks," Neil Wilson, seniormarket analyst at ETX Capital, said.

Among bright spots, wealth manager St James's Placebeat full-year forecasts across the board, helped by growingdemand for face-to-face financial advice.

Its shares rose 4 percent, topping the blue-chip risers'list.(Reporting by Tricia WrightEditing by Gareth Jones)