METALS-Copper ticks higher on low inventories, equity bounce

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 (Adds Shanghai closing prices; updates London prices)
    BEIJING, Jan 7 (Reuters) - London copper prices inched
upwards for a second session on Tuesday, tracking equity
markets, as inventories of the metal continued to drop, although
trade and geopolitical uncertainties capped gains. 
    Copper stocks in London Metal Exchange-monitored warehouses
MCU-STOCKS have slumped by almost 60% since late-August, and
are currently at 142,900 tonnes, the lowest since March 2019.
    Copper stocks "have been low for a while but the reality is
no one has felt the need to chase prices higher," said Guy Wolf,
global head of market analytics at brokerage Marex Spectron.   
    "Without resolution on the tariff situation, no one is
really going to feel the need to risk-up and start filling up
the supply chain again," Wolf said, referring to a raft of
tariffs imposed by Washington and Beijing on each others' goods.
    
    A Chinese trade delegation is planning to travel to
Washington on Jan. 13 for the signing of the U.S.-China Phase 1
trade deal between the two countries, the South China Morning
Post reported on Sunday.

    FUNDAMENTALS
    * COPPER: Three-month copper on the LME rose 0.6% to
$6,175 a tonne by 0707 GMT, extending a 0.2% gain from the
previous session. The most-traded March copper contract on the
Shanghai Futures Exchange closed up 0.4% at 49,010 yuan
 ($7,050.48) a tonne. 
    * TRADE: China will not increase its annual low-tariff
import quotas for corn, wheat and rice to accommodate stepped-up
purchases of farm goods from the United States, local media
group Caixin quoted senior agriculture official Han Jun as
saying on Tuesday.   
    * FIRST QUANTUM: Canada's First Quantum Minerals Ltd
fell as much as nearly 4% on Monday after the copper miner said
it had adopted a poison pill takeover defence.
    * BAUXITE: Aluminum Corp of China Ltd,
, known as Chalco, has shipped the first cargo of
bauxite from its Boffa mine in Guinea, a company spokesman said.

    * OTHER METALS: The LME complex was broadly higher, with
nickel shrugging off an early dip to trade 1.1% higher
at $13,975 a tonne, while lead added 0.3%, tin
climbed 0.5% and zinc nudged up 0.1%. Aluminium
was the only metal in the red, slipping 0.1% after hitting its
highest since July 22 on Monday.
            
    MARKETS NEWS    
    * Asian shares rebounded as investors' reassessed the risk
of an all-out conflict between the United States and Iran, while
Wall Street battled back to the black as tech stocks climbed. 
    
      
    PRICES    
 BASE METALS PRICES                      0707 GMT
 Three month LME copper                      6175
 Most active ShFE copper                    49000
 Three month LME aluminium                   1831
 Most active ShFE aluminium                 14070
 Three month LME zinc                        2326
 Most active ShFE zinc                      18165
 Three month LME lead                        1925
 Most active ShFE lead                      14815
 Three month LME nickel                     13955
 Most active ShFE nickel                   109410
 Three month LME tin                        16935
 Most active ShFE tin                      135120
                                                 
 BASE METALS ARBITRAGE                           
 LME/SHFE COPPER              LMESHFCUc    537.23
                              3          
 LME/SHFE ALUMINIUM           LMESHFALc   -456.37
                              3          
 LME/SHFE ZINC                LMESHFZNc   -291.61
                              3          
 LME/SHFE LEAD                LMESHFPBc   -713.58
                              3          
 LME/SHFE NICKEL              LMESHFNIc  -2648.09
                              3          
 
($1 = 6.9513 yuan)

 (Reporting by Tom Daly; Editing by Arun Koyyur, Sherry
Jacob-Phillips and Uttaresh.V)

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