*Parliament approves military operations outside Turkey. ISTANBUL, Oct 4- Turkish assets weakened on Thursday on investor concerns about increasing tension with Syria, after a mortar bomb hit a residential district in southeast Turkey, killing five people.
*Unrest in Turkey- Syria raises regional security worries. LONDON, Oct 4- Brent crude oil rose above $109 per barrel on Thursday as escalating tensions between Syria and Turkey raised more concerns over the security of oil supplies from the Middle East.
The European Central Bank is not expected to cut rates at the monthly policy making session despite weaker economic data, but was seen likely to be pressed on negotiations with Spain over its financing needs in the news conference which follows.
LONDON, Oct 4- Brent crude oil rose more than $1 per barrel on Thursday as fresh tension between Syria and Turkey raised fears over the security of oil supplies from the Middle East. Turkish artillery hit targets near Syria's Tel Abyad border town for a second day on Thursday after a mortar bomb fired from the area killed Turkish civilians.
LONDON, Oct 4- Turkish stocks fell 1.6 percent on Thursday and credit default swaps jumped after a sharp escalation in political risks caused by retaliatory military raids within the Syrian border. "Clearly a short-term risk for Turkey and Turkish assets," said Simon Quijano-Evans, chief EEMEA economist at ING. MSCI emerging stocks rose 0.3 percent.
*FTSE 100 falls 0.2 pct, sheds early gains. LONDON, Oct 4- UK shares turned lower on Thursday, hit by concerns over bailout talks in Greece and tensions in the Middle East, ahead of central bank meetings in Britain and Europe that are unlikely to generate new stimulus moves. By 0836 GMT, the UK's FTSE 100.
*Spain expected to ask for euro zone financial bailout. *Unrest in Iran, Turkey- Syria raise geopolitical worries. LONDON, Oct 4- Brent crude oil rose towards $109 per barrel on Thursday as expectations Spain would seek a bailout and better U.S. data encouraged investors back into riskier assets such as oil and commodities.
ISTANBUL, Oct 4- The Turkish lira partially pared its losses on Thursday after an advisor to Prime Minister Tayyip Erdogan said Turkey had no interest in a war in Syria, easing investors' anxiety over increasing tension between two countries.
*Jittery investors await U.S. job data, watch Europe. *Social unrest in Iran, Turkey- Syria clashes in focus. SINGAPORE, Oct 4- Brent futures edged up towards $109 per barrel on Thursday as a steep drop in the previous session brought in bargain hunters, while investors awaited further cues from a European Central Bank policy meeting and critical U.S. jobs data.
The lira was at 1.8035 against the dollar at 0544 GMT, weakening from 1.7966 late on Wednesday after Turkish artillery hit targets inside Syria in response to a mortar bomb fired from Syria which killed five Turkish civilians.
Rising tensions between Syria and Turkey also contributed to higher prices, the geopolitical risk highlighting concerns about Middle East oil supplies. By early afternoon in Europe, benchmark oil for November delivery was up 62 cents to $88.76 a barrel in electronic trading on the New York Mercantile Exchange.
NEW YORK, Oct 4- Brent and U.S. crude futures rose more than $2 on Thursday as the turmoil in Syria reinforced fears about supply disruptions, and with the dollar weakening and Wall Street higher after European Central Bank's chief remarks encouraged hopes the euro zone debt crisis is being addressed.
*Jittery investors await U.S. job data, watch Europe. *Social unrest in Iran, Turkey- Syria clashes in focus. SINGAPORE, Oct 4- Brent futures steadied above $108 a barrel on Thursday after a sharp drop in the previous session, with investors waiting for a European Central Bank policy meeting and critical jobs data out of the United States this week for more trading cues.
*Russia may be irritated with calls for new sanctions-envoys* Israel has threatened military action against Iran By Louis Charbonneau.
The Turkish prime minister announced on Wednesday night that Turkey had fired artillery at targets in Syria, in retaliation for Syrian mortar fire that fell in a Turkish border town and killed five Turkish civilians, the New York Times reports.
*China, Europe services PMI disappoint. NEW YORK, Oct 3- Oil prices fell sharply on Wednesday as disappointing economic data from China and Europe reinforced concerns about slowing growth and a weakening demand for petroleum, even as supportive U.S. data strengthened the dollar.
PARIS, Oct 3- Nicolas Sarkozy has told a friend he has "no choice" but to seek re-election to the French presidency in 2017, weekly paper Le Canard Enchaine reported on Wednesday, after saying he would quit politics following his election defeat in May.
MOSCOW, Oct 3- Here are events and news stories that could move Russian markets on Wednesday. EVENTS: MOSCOW- Russia Calling VTB Capital investment conference. MOSCOW- Press conference by Aeroflot Chief Executive Vitaly Savelyev and SAP executives.
NEW YORK, Oct 2- The U.S. State Department has said it believes American journalist Austin Tice, who disappeared in Syria in August, is alive and being held by the Syrian government.
BEIRUT-- An American freelance journalist who has been missing in Syria since mid-August has been shown in a video clip posted online, blindfolded and saying "Oh, Jesus" in a frightened voice in the custody of armed men. Tice, a 31- year-old former Marine, had been reporting on Syria's civil war for The Washington Post, McClatchy Newspapers and others.