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METALS-Shanghai copper fall after LME losses

Monday, Aug 17, 2009
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SINGAPORE, Aug 17 (Reuters) - Shanghai copper and aluminiumwere expected to fall on Monday, and London futures extendedFriday's losses, under pressure from weak consumer sentimentdata and a sharp rise in Chinese copper stocks last week. FUNDAMENTALS * Copper for three-month delivery on the London MetalExchange MCU3 fell $52 to $6,445 a tonne early on Monday,having shed 2.4 percent in the previous session, when itsnapped a four-day rally. * A weaker-than-expected read from the Reuters/University ofMichigan Survey of Consumers ignited Friday's sell-off asinvestors took profits after copper hit its strongest in 10-? months. * A 20 percent in weekly Shanghai copper stocks to 76,107,their highest in two years, and a 900-tonne rises in daily LMEstocks to 292,875 tonnes also depresses sentiment. MARKET NEWS * The yen was broadly firmer on Monday after weak U.S. economic data clouded the outlook for a quick global recovery,prompting further profit-taking in commodity-linked currenciesafter their sizzling rally. [USD/] * U.S. stocks fell broadly on Friday, as the major indexessnapped a four-week streak of gains after weak consumersentiment data fuelled concerns about the strength of aneconomic recovery. [.N]

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