By Glenys Sim Oct. 27 (Bloomberg) -- Copper and zinc tumbled by the exchange-imposed daily limit for a fourth day in Shanghai, tracking losses in international markets, on concern the worsening economic slump will reduce demand for commodities. Copper fell to the lowest in more than three years in Shanghai after tumbling 6.7 percent in London and 6.5 percent in New York on Oct. 24, when the Shanghai Futures Exchange halted trading in most contracts for the metal after prices plunged the limit for three straight sessions. ``Shutting down the market for a day doesn't help when you have international markets still open and tumbling,'' Zhu Bin, head of research at Nanhua Futures Co., said from Hangzhou. Copper for January delivery on the Shanghai exchange dropped by 1,360 yuan, or 4 percent, from the previous settlement price, to 32,540 yuan ($4,760) a ton when the exchange opened for trading at 9 a.m. local time. That's the lowest for a most-active contract since July 2005. Three-month delivery copper was down 2.3 percent at $3,684 a ton on the London Metal Exchange, and December-delivery copper on the Comex division of the New York Mercantile Exchange lost 1.3 percent to $1.6640 a pound at 12:52 p.m. Singapore time. ``Eventually the market will look to demand to determine what the price should be,'' Zhu said. ``Unfortunately at this moment that picture looks bleak.'' Zinc Declines China, the world's biggest metals consumer, expanded at the weakest pace in five years in the third quarter as the U.S. slowdown cooled demand for exports. Thirteen of 24 analysts and traders surveyed by Bloomberg said copper may extend declines this week on speculation the U.S. economy is still weakening, spurring the Federal Reserve to lower interest rates. Zinc for January delivery in Shanghai fell the daily limit to 8,840 yuan a ton, after the contract resumed trading following a one-day halt. This is the lowest for a most-active contract since the exchange started trading zinc futures in March 2007. Zinc for three-month delivery on the LME slumped 5.3 percent to $1,103 a ton at 12:53 p.m. Singapore time. ``If prices are maintained at current levels around $1,100 a ton, we believe that approximately one quarter of zinc mine production will experience cash operating losses,'' Andrew Keen, an analyst at Sanford C. Bernstein Ltd. said in a Oct. 24 report. ``A slide under $1,000 would bring the third quartile into cash losses and, if sustained, would probably result in mine closures on an unprecedented scale.'' Among other LME-traded metals, aluminum fell 0.6 percent to $1,960 a ton, lead lost 4.4 percent to $1,215, and nickel was 4 percent lower at $9,600. Tin had not traded as of 12:50 p.m. in Singapore. To contact the reporter for this story: Glenys Sim in Singapore at gsim4@bloomberg.net

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