MARKET EYE-UBS remains bullish on India; upgrades IT, metals

* UBS remains bullish on Indian shares, but says returns in 2013
would be front-loaded as first half would be supported by an
easing rate cycle and on expectations of a "market-friendly"
budget for FY14.
* The investment bank turns 'neutral' on IT services stocks from
'overweight' earlier, as it increases weight on Infosys
and adds Wipro to its model portfolio.
* "Recent Infosys and TCS results may point towards
some signs of a relief in offshore spending and an incrementally
improved environment for Indian IT," UBS said in the report.
* The bank turns 'neutral' on metals stocks from 'underweight'
as it adds JSW Steel and Tata Steel to its
model portfolio, citing positive trends in steel prices and a
pickup in construction activity.
* UBS also increases weightage on Reliance Industries
ahead of its December quarter earnings on Friday, thereby
turning 'overweight' on the petrochemical sector from 'neutral'
earlier.

(abhishek.vishnoi@thomsonreuters.com /;
abhishek.vishnoi.thomsonreuters.com@reuters.net)