* FTSEurofirst 300 index up 0.9 pct
* Banks gain; Lloyds falls
* Commods track crude, metals higher
By Joanne Frearson
LONDON, Oct 19 (Reuters) - European shares rose in early trade on Monday after the previous session's retreat, with banking stocks advancing and commodities tracking rising crude and metal prices.
By 0820 GMT, the FTSEurofirst 300 <.FTEU3> index of top European shares was up 0.9 percent at 1,018.81 points, just shy of the 12-month highs of 1,026.43 touched on Friday.
Investors were also awaiting more corporate earnings news,
with results from Texas Instruments
"There is a positive attitude and again we are looking at more corporate results coming through. There are high expectations for Apple, the company has had a fantastic corporate story over the past few years," said Justin Urquhart Stewart, director at Seven Investment Management.
"Texas Instruments, however, we will see if they have started stabilising themselves and orders for IT have started picking up. There are still question marks that remain there," said Urquhart Stewart.
Banks added the most points to the index. HSBC
However, Lloyds Banking Group
Royal Bank of Scotland
The pan-European benchmark, which is up 23 percent so far in 2009, has surged 58 percent since reaching a floor in early March, but is still down 38 percent from a multi-year peak touched in mid-2007.
COMMODS GAIN
Energy stocks featured among the gainers as crude
Miners rose as copper
Food producers were on the upside, with Nestle
German premium carmaker Daimler
"Intensifying (the) current cost-saving programme should support shares today," a local trader said.
Across Europe, the FTSE 100 <.FTSE> index was up 1.3 percent, Germany's DAX <.GDAXI> was 1.2 percent higher and France's CAC 40 <.FCHI> rose 1.1 percent. (Editing by Mike Nesbit)