UPDATE 1-Chinalco sees nonferrous metal prices trending up

* Nonferrous metal prices to fluctuate but will trend up * Global inflation expectations seen bringing up metal prices * Some downward pressures from extra capacities (Adds details) BEIJING, Dec 9 (Reuters) - Aluminum Corporation of China (Chinalco), the parent of Chalco (2600.HK: Quote, Profile, Research) (601600.SS: Quote, Profile, Research) and the country's top producer of the metal, said on Wednesday that it saw global nonferrous metal prices trending up. Global Aluminium prices plummeted by more than 50 percent early this year from the summer peak last year before gradually recovering later. At 1206 GMT, the London Metal Exchange (LME) three-months price MAL3 was indicated at $2,171/81 a tonne, compared with less than $1,300 in February. "Currently, the nonferrous metal industry is stabilising and warming up, but the market is still not very stable," Xiong Weiping, President of Chinalco, told the official Xinhua News Agency. "But the global economic recovery will promote a continous rebound in nonferrous metal consumption and production," he added. Xiong said that global inflation expectations would help bring up metal prices though there are downward pressures from extra capacities. "To sum it up, nonferrous metal prices are expected to be fluctuating but will trend up," he said in an interview with Xinhua. Xiong said that he was very disappointed by the stranded deal with Rio Tinto (RIO.L: Quote, Profile, Research), but his company would keep actively seeking other similar opportunities. Rio's relations with Chinalco soured early in July after it snubbed Chincalco's offer for a bigger equity partnership that would have seen the Chinese group invest another $19.5 billion. Rio later opted to form an iron ore joint venture with rival BHP Billiton Ltd (BHP.AX: Quote, Profile, Research)(BLT.L: Quote, Profile, Research). Rio Tinto Ltd/Plc (RIO.AX: Quote, Profile, Research), the world's second-largest iron ore miner, is still keen to work with China's state-owned Chinalco and both companies have held talks recently, Rio CEO Tom Albanese said last month. [ID:nSYD484746] (Reporting by Eadie Chen and Tom Miles; Editing by Jacqueline Wong) (eadie.chen@reuters.com; +8610 6627 1268; Reuters Messaging: eadie.chen.reuters.com@reuters.net))