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London base metals slip as China stimulus leaves out details



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Adds comments, updates prices

Oct 14 (Reuters) -Prices of nonferrous metals inched lower in London on Monday, while most Shanghai prices firmed, as traders remained divided on China's weekend stimulus pledges which lacked details.

Three-month copper on the London Metal Exchange (LME) CMCU3 eased 0.4% at $9,748 per metric ton by 0732 GMT after rising over 6% in September.

Meanwhile, the most-traded November copper contract on the Shanghai Futures Exchange (SHFE) SCFcv1 closed 0.4% higher at 77,570 yuan ($10,956.21)a ton.

China on Saturday pledged to "significantly increase" debt to revive its sputtering economy, but left investors guessing on the overall size of the stimulus.

China is the world's biggest consumer of metals and the construction sector is a major user of the commodities.

LME copper price rally "would have had a longer shelf life if we got more details around stimulus measures, adding solid support for the property market," ANZ analyst Soni Kumari said.

"From a macro perspective, China's measures and U.S. interest rate cuts remain a positive factors for the metals markets." FEDWATCH

Meanwhile, China's deflationary pressures worsened in September, heightening pressure on authorities to roll out more stimulus quickly to revive shaky economic activity.

"We see copper prices averaging $9,500 in fourth quarter as focus shifts to risks from the U.S. election in early November, developed market growth headwinds, and Middle East," said Citi in a note.

"With these risks and with the manufacturing cycle yet to convincingly bottom, it feels premature to price for stronger metals demand from a broader cyclical demand recovery."

LME aluminium CMAL3 fell 0.7% to $2,615, nickel CMNI3 lost 0.7% to $17,745, zinc CMZN3 dropped 1.6% to $3,105, lead CMPB3 declined 1.3% to $2,069 and tin CMSN3 dipped 1% at $32,875.

SHFE aluminium SAFcv1 added 0.7% at 20,880 yuan a ton, nickel SNIcv1 rose 0.5% at 134,610 yuan, zinc SZNcv1 steadied at 25,335 yuan, while lead SPBcv1 decreased 0.2% to 16,620 yuan and tin SSNcv1 fell 0.6% to 265,850 yuan.


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Reporting by Ashitha Shivaprasad in Bengaluru; Editing by Subhranshu Sahu, Sonia Cheema and Varun H K

 For related news and prices, click on the codes in brackets: LME price overview RING= COMEX copper futures 0#HG: All metals news MTL All commodities news C 
Foreign exchange rates FX=SPEED GUIDES LME/INDEX
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