PREVIEW-Franco-Belgian Dexia to unveil strategy update

* Strategy review could lead to disposal of U.S. unit FSA * Analysts reluctant to give precise Q3 estimates

By Julien Ponthus

PARIS, Nov 10 (Reuters) - Third-quarter results due on Friday from Franco-Belgian financial services group Dexia will be overshadowed by a strategic review which could lead to the disposal of its loss-making U.S. bond insurance unit.

Market speculation that a sale of loss-making Financial Security Assurance (FSA) could be near prompted a rally of over 10 percent last week in Dexia (DEXI.PA: Quote, Profile, Research) shares, which have fallen around 70 percent in the year to date.

By comparison the DJ Stoxx European banks index has lost some 53 percent.

"The first question is to know if they are going exit from FSA and if so, how," said one Paris-based analyst.

Dexia said on Oct. 20 its board had mandated Chief Executive Pierre Mariani to explore all options that would reduce the risk of FSA's activities and report back by time of the results.

"The emphasis will probably be on possible asset disposals and moves to resize activities deemed non strategic," Christophe Ricetti of Natixis Securities told clients in a note on Monday."