MARKET EYE- Indian shares rise on crude, JPM upgrade

* India's benchmark BSE index gains 0.8 percent,
recovering sharply from an earlier fall of as much as 0.9
percent, as the fall in global crude prices and an equities
upgrade from J.P.Morgan improve sentiment.
* State-run refiner Hindustan Petroleum Corporation
gains 4.3 percent, producer Oil & Natural Gas Corp
rose 1.4 percent, while fuel retailer Indian Oil Corporation
adds 3.3 percent as global crude prices hit 18-month
lows.
* Both state-run refiners and explorers in India benefit from
lower oil prices because the companies share with the government
the burden of selling fuel products at discounted prices,
resulting in lower losses when crude prices fall.
* Sentiment also improves after J.P.Morgan upgrades Indian
equities to "overweight" from "neutral", citing a number of
factors including historic valuations, expectations for monetary
stimulus, lower oil prices, and a weak rupee.
* J.P.Morgan is "overweight" on private banks, IT services, and
health care.
* ICICI Bank shares gain 1.9 percent while State Bank
of India gains 3 percent.

(manoj.dharra@thomsonreuters.com/abhishek.vishnoi@thomsonreuter
.com)