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RTRS:METALS-Copper down on Europe woes, but strikes may support prices
 
* Copper falls 0.6 pct on LME, 0.7 pct on ShFE
* Freeport's mines in Indonesia and Peru plan strikes
* Coming up: U.S. ISM N-Mfg data, Aug; 1400 GMT

(Updates prices, adds quotes and details)
By Carrie Ho
SHANGHAI, Sept 6 (Reuters) - Copper fell by as much as 0.7
percent on Tuesday, hit by a slump in equities triggered by
fresh fears about the euro zone's sovereign debt crisis, but
supply disruptions from planned mining strikes could shore up
prices.
Two planned strikes at Freeport McMoRan Copper & Gold's
mines in Indonesia and Peru this month are expected to
deepen concerns over supply and bolster prices, traders said.
Three-month copper on the London Metal Exchange fell
0.6 percent to $8,910.25 a tonne by 0338 GMT, after hitting its
lowest level in a week in the previous session and then closing
down 1.3 percent.
The most-active November copper contract on the Shanghai
Futures Exchange SCFc3 fell 0.7 percent to 66,630 yuan per
tonne, led by a drop in the Shanghai Composite Index ,
after falling 1.1 percent in the previous session.
"It looks like today's influence is mostly due to what is
happening in the euro zone as there are no new developments in
China or in the U.S.," said Dongzheng futures trader Du Xiao
Hua.
But investors are also increasingly nervous about another
global economic recession, as that is likely to crimp demand for
commodities. Latest data showed that global growth in services
came to a virtual standstill last month.
World leaders have been publicly voicing their concerns over
the slow handling of the debt crises in the United States and
especially the euro zone, where politicians have locked horns
over bailout plans for Greece.
The deputy heads of the financial regulatory agencies of
China, Japan and South Korea plan to hold a conference call on
Tuesday to discuss better ways to deal with the current
uncertainty involving the United States and euro zone countries.


Possible supply disruptions may help put a floor on copper
prices, as Freeport's Grasberg mine in Indonesia, the world's
third-largest copper mine, faces an indefinite strike from Sept.
15 unless the firm gives workers a pay rise, a union official
told Reuters on Monday.
Workers at the company's Cerro Verde copper mine in Peru
will launch a 48-hour strike on Sept. 7 to win higher salaries,
union representatives said on Friday.


Base metals prices at 0338 GMT
Metal Last Change Pct Move YTD pct chg
LME Cu 8910.25 -49.75 -0.56 -7.18
SHFE CU FUT NOV1 66630 -470 -0.70 -7.27
LME Alum 2379.75 -7.75 -0.32 -3.65
SHFE AL FUT NOV1 17285 -60 -0.35 2.64
HG COPPER DEC1 404.25 -8.20 -1.99 -8.94
LME Zinc 2173.25 1.25 +0.06 -11.44
SHFE ZN FUT NOV1 16795 -150 -0.89 -13.76
LME Nickel 20850.00 -40.00 -0.19 -15.76
LME Lead 2415.00 -15.00 -0.62 -5.29
SHFE PB FUT 16430 -125 -0.76 -10.46
LME Tin 23750.00 -200.00 -0.84 -11.71
LME/Shanghai arb -17

Shanghai and COMEX contracts show most active months
^ LME 3-m copper in yuan, including 17 pct VAT, minus SHFE
third month

(Reporting by Carrie Ho; Editing by Jacqueline Wong and Miral
Fahmy)
Source