Shanghai copper edges down, tracking London falls

SINGAPORE, Feb 22 (Reuters) - Shanghai copper edged lower on
Monday, after risk aversion pulled down London copper in the
previous session as increasingly violent protests in Libya
unnerved investors. 

 FUNDAMENTALS    	

 * Three-month copper on the London Metal Exchange 
was little changed at $9,809 a tonne by 0100 GMT.	

 * Shanghai's most-active copper futures contract 
edged down 0.5 percent to 74,290 yuan ($11,312) a tonne,
reversing gains in the previous session.	

 * The turmoil in Libya triggered risk aversion and dampened
sentiment in industrial metals, but sent spot gold to above
$1,400 for the first time since early January and oil prices to
2-1/2 year highs.  	

 * Supporting the sentiment, German business morale rose to a
record high in February, its ninth consecutive increase,
signalling a strong rebound in Europe's dominant economy still
carries momentum despite spending cuts and slower growth abroad.
 	

 * The world copper market had a deficit of 400,000 tonnes in
the January to November period of 2010 compared with a surplus
of 98,000 tonnes in the same period the previous year, said the
International Copper Study Group. 	

 * LME copper stocks rose 3,550 tonnes to 411,475 tonnes,
their highest since August last year. The stockpile has been on
a steady climb since early Dec, up 18 percent from Dec 9.
<0#MCUSTX-LOC>	

 * LME aluminium inched up 0.2 percent at $2,584, a
hair off the 29-month high of $2,585 hit in the previous
session.	

 * Shanghai aluminium hit one-year high of 17,435
yuan. 	

 MARKETS NEWS	

 * The U.S. dollar edged up against a basket of major
currencies early in Asia on Tuesday, although the Australian
dollar eased and could suffer further declines as mounting
tension in the Middle East drive investors to cut risk. 	

 * U.S. crude futures extended gains on Tuesday, with the
nearby March contract rising by more than $2 from late
New York levels to above $93.50 per barrel. 	

 DATA/EVENTS	
1400 U.S.     CaseShiller 20 mm nsa     Dec     1400
U.S.     CaseShiller 20 yy         Dec     1500
U.S.     Consumer confidence     Feb     2350 Japan

 Exports yy             Jan     	

 RELATED NEWS    
> Copper down on broad risk aversion, China worr 
> Mexico sees mining investment, Penoles bets on 	
> Copper market deficit at 400,000 Jan-Nov       	
> Zinc market has 264,000 T surplus in 2010     	
> Lead market has 48,000 T surplus in 2010      	
> Jan daily average aluminium output 68,600 T     	
> Phillipine review of open-pit mining ban possi 	

PRICES    	
 Base metals prices at 0100 GMT
  Metal              Last       Change   Pct Move YTD pct chg
  LME Cu            9809.00     -1.00     -0.01      2.18
  SHFE CU FUT MAY1    74290      -340     -0.46      3.40
  LME Alum          2584.00      4.00     +0.16      4.62
  SHFE AL FUT MAY1    17370        25     +0.14      3.15
  HG COPPER MAR1     446.35     -3.10     -0.41      0.54
  LME Zinc          2596.00      0.00     +0.00      5.79
  SHFE ZN FUT MAY1    20440        20     +0.10      4.96
  LME Nickel       29300.00      0.00     +0.00     18.38
  LME Lead          2675.00      0.00     +0.00      4.90
  LME Tin          32325.00      0.00     +0.00     20.17
  LME/Shanghai arb^          1071
  Dollar/yuan          6.5665 \ 6.5675

Shanghai and COMEX contracts show most active months

^ LME 3-m copper in yuan, including 17 pct VAT, minus SHFE  third month

 	
($1 = 6.567 Chinese yuan)

(Source: http://af.reuters.com/article/metalsNews/idAFL3E7DM01Z20110222)