* FTSE down 0.3 percent as commodity stocks retreat
* Investors eye BoE inflation report, King news conference
By David Brett
LONDON, Nov 10 (Reuters) - Commodity stocks dragged Britain's top shares lower on Wednesday as investors booked strong gains from the previous session, while engine maker Rolls Royce fell on more uncertainty over its A380 engines.
By 0908 GMT, the FTSE 100 was down 19.32 points, or 0.3 percent at 5,855.87. It closed up 0.4 percent at 5,875.19 on Tuesday, having briefly broken through the 5,900 level for the first time since June 6, 2008, earlier in the session.
"This is a follow through from what happened on Wall Street overnight and a marked deterioration in trading," Jeremy Batstone-Carr, head of equities at Charles Stanley said.
"I'm not too sure whether there is anything to be read into that other than ongoing uncertainty ahead of the (G20) Seoul Summit this weekend, which is driving the dollar on foreign exchanges."
Commodity-linked assets paused for breathe after recent strong gains, which have been spurred by soaring metal and crude prices.
Gold miner Randgold Resources shed 1.2 percent. The heads of the White House oil spill commission said complacency at BP, as well as at Transocean Ltd and Halliburton, led to serious missteps prior to the rig explosion that unleashed millions of barrels of oil into the Gulf of Mexico over the summer.
AVIATION TROUBLES
Aero-engine maker Rolls-Royce's woes continued. It's shares dropped 2.8 percent, the top fallers on the FTSE 100 after Singapore Airlines said it will replace engines on three of its Airbus A380 planes after finding oil stains on them, almost a week after Australian rival Qantas grounded its A380 fleet due to an engine failure.
The incident has rattled a global aviation industry recovering from heavy losses during the downturn, and has been damaging for Rolls-Royce, its shares having dropped around 10 percent.
And a Boeing 787 test flight made an emergency landing on Tuesday in Texas with smoke in the cabin, the first incident of its kind, putting additional scrutiny on the already delayed program.
"Boeing says it is not engine problems but it isn't good for (Rolls Royce's) reputation," a London-based trader said.
Meanwhile BAE Systems rose 3.2 percent after Investec described the UK defence firm's investor day on Tuesday as a "bullish", prompting the broker to re-iterate its "buy" rating.
Elsewhere, supermarket group J Sainsbury dipped 2.3 percent, handing back some of their recent gains, after meeting first-half profit forecasts.
Financials added some support to the index, with Britain's largest insurer Prudential, up 0.8 percent after third-quarter results.
Lloyds Banking Group and Royal Bank of Scotland rose 0.6 and 0.2 percent, respectively, as investors awaited the latest Bank of England inflation report.
Economists expect the BoE's short-term growth and inflation projections, released at 1030 GMT, to be revised up from their August paths, due to recent above-forecast GDP and CPI outturns.
King's news conference should give some clue as to how seriously the MPC considered following the U.S. Federal Reserve's lead on Thursday and expanding its QE programme. (Editing by Louise Heavens)