Copper fell in New York after Morgan Stanley and Deutsche Bank AG cut forecasts for economic growth worldwide and in China, the biggest consumer of the metal, fanning concern about the strength of demand. Global growth will come to 3.9 percent this year, below the prior 4.2 percent estimate, Morgan Stanley said. China’s economy will swell this year by 8.9 percent, down from 9.1 percent, according to Deutsche Bank. Prices also dropped as a stronger dollar made raw materials priced in the currency more expensive in terms of other monies. LME metals were “weak on the back of concerns over slowdown and a realization that governments may have to start taking medicine to start sorting the debt problem out,” said William Adams, an analyst at Basemetals.com. Copper for December delivery slid 4.5 cents, or 1.1 percent, to $4.008 a pound by 8:31 a.m. on the Comex in New York. Copper for three-month delivery declined 1.4 percent to $8,838 a metric ton on the London Metal Exchange. Morgan Stanley also cut its estimate for China’s growth next year to 8.7 percent from 9 percent, citing the effects of weaker economies in the U.S. and Europe. Expansion in China in 2012 will come to 8.3 percent rather than the prior 8.6 percent, Deutsche Bank said, citing the “shock” of a U.S. and European Union slowdown in a report yesterday. Chinese Consumption “On more a medium- to longer-term outlook, it’s likely that demand for commodities is at risk, and we’d expect commodity prices to reflect that over the coming weeks,” said Angus Staines, an analyst at UBS AG in London. China is the world’s biggest consumer of energy, industrial metals and wheat as well as the top soybean importer. The U.S. Dollar Index, a six-currency gauge of the greenback’s strength, rose as much as 0.6 percent. Stockpiles of copper held in bonded warehouses in China may have rebounded since June as imports increased amid a lull in manufacturing over the summer. Inventories in the warehouses, which are undisclosed, may have gained by about 100,000 tons to 400,000 tons, according to estimates by traders and analysts in China. The stocks, stored in the warehouses before clearing customs, slid to a year-to- date low of about 300,000 tons in June from a record of 600,000 to 650,000 tons in March, they said. Tin for three-month delivery on the LME declined 0.6 percent to $23,850 a ton. LME stocks of the metal rose 225 tons to 23,235 tons, the highest level since April 21, 2010, daily exchange figures showed. Zinc, lead and nickel fell in London. Aluminum gained. To contact the reporter on this story: Agnieszka Troszkiewicz in London at atroszkiewic@bloomberg.net To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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