for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up

METALS-Copper slips on strong dollar, China demand hopes limit losses

(Recasts, updates prices)

Sept 11 (Reuters) - Copper prices dropped to a one-week low on Friday as the U.S. dollar rebounded, setting the LME benchmark on track for its first weekly loss in five, but hopes of increased demand in top metals consumer China lent some support.

Three-month copper on the London Metal Exchange fell as much as 1.2% to $6,589 a tonne, before turning 0.2% higher by 0717 GMT. The contract was on track for a 0.5% loss this week.

Copper on the Shanghai Futures Exchange closed down 0.7% at 51,680 yuan ($7,559.53) a tonne, paring losses after also hitting its lowest since Sept. 4.

The dollar index rebounded after a steep drop against the euro in the previous session, making metals more expensive for buyers holding other currencies.

Given fluctuations in the dollar index, copper prices have been “in a tangled and turbulent pattern”, said analysts at Huatai Futures in a note.

Copper's pullback also tracked data that showed LME inventories of the metal MCUSTX-TOTAL ticking higher on Thursday.

Research group Antaike raised its 2020 forecast for China’s refined copper imports for the second time this year, while the country’s copper scrap imports are expected to fall about 50% this year, according to an industry official.

Other base metals also fell on Friday dragged down by concerns over Brexit, fading hopes of a further U.S. fiscal stimulus, and data suggesting the U.S. labour market’s recovery from the coronavirus crisis has stalled.

* In Shanghai, aluminium slipped 0.9%, nickel lost 0.3%, lead slumped 1%, and tin dropped 1.5%, but zinc climbed 0.7%.

* On the LME, aluminium dipped 0.4% to $1,783 a tonne and tin slumped 0.5% to $17,910, but zinc rose 1.1% to $2,443.50, nickel gained 0.2% to $14,860, while lead added 0.6% to $1,893.50.

* The Shanghai exchange expects to roll out its alumina futures contract in 2021.

Reporting by Enrico Dela Cruz in Manila; Editing by Sherry Jacob-Phillips and Tom Hogue

for-phone-onlyfor-tablet-portrait-upfor-tablet-landscape-upfor-desktop-upfor-wide-desktop-up