Sept 27 (Reuters) - Copper prices rose on Monday as exchange
inventories in top consumer China dropped to their lowest levels
in more than 12 years, but other base metals lost ground as
Chinese power restrictions start to take their toll on demand.
Three-month copper on the London Metal Exchange was
up 0.2% at $9,349.50 ($10,737) a tonne as of 0725 GMT, while the
most-traded October copper contract on the Shanghai Futures
Exchange closed up 0.5% on 69,340 yuan a tonne.
ShFE copper inventories <CU-STX-SGH> on Friday fell for the
seventh straight week to 44,629 tonnes, their lowest since June
"Reduced scrap flow continues to propel consumers to buy
cathode instead," ING analysts said in a note.
Other metals declined, led by tin and nickel.
Commodity producers and manufacturers have been hit by
widening power curbs in China, put in place to keep emissions in
ING described these measures as a "double-edged sword," for
metals. Curbs on smelting mean reduced supply and are positive
for prices, it noted. "However, it is also affecting
semi-fabricating and downstream consumers, which is negative for
* LME nickel fell as much as 2.9% to $18,820 a
tonne, while tin plunged as much as 3.2% to $35,370 a
tonne, easing from Friday's record high. ShFE tin
opened up more than 3%, setting its own all-time peak, only to
tumble 4% late in the session.
*Aluminium closed down 2% on 22,725 yuan a tonne in Shanghai
and was down 0.6% at $2,898 a tonne in London.
ShFE aluminium inventories <AL-STX-SGH> on Friday rose for the
first time in five weeks to 229,847 tonnes, easing supply
shortage worries and pressuring prices.
* LME zinc fell 0.5% to $3,112 a tonne.
Belgium-based Nyrstar has cut zinc production at its
smelter in the Netherlands because of the rise in electricity
prices in Europe, the company said in a statement.
($1 = 6.45806 yuan)
(Reporting by Mai Nguyen in Hanoi; additional reporting by Tom
Daly; Editing by Ramakrishnan M. and Emelia Sithole-Matarise)