* Weak demand reflected in rising China copper inventories * Greece agreement, weaker dollar help limit metals losses * Deals likely in Shanghai next week for 2013 copper term shipments By Susan Thomas LONDON, Nov 23 (Reuters) - Copper dipped on Friday on concerns over weak demand, especially in top metals consumer China, although a weaker dollar and improving investor confidence over an agreement between international lenders on new measures to cut Greece's debt pile limited losses. Recent data from China and the United States also brought better news for the global economy. Factories in the two countries returned to growth, although the euro zone economy is still on course for its deepest downturn since early 2009. Demand for industrial metals such as copper has weakened this year as China's economic growth has been impacted by the decline in manufacturing activity in Europe, its main export market. Weak domestic demand in China is reflected in its rising stockpiles of copper, which hit a record of over one million tonnes last week and is expected to rise by around 100,000 tonnes by the end of the year. This is likely to weigh on benchmark London Metal Exchange (LME) copper prices. Three-month copper on the LME was $7,703 per tonne at 1106 GMT, down 0.15 percent from Thursday's close of $7,715. It is on track for a second month of losses. "The U.S. dollar has strengthened, global risk appetite is muted and China has been building inventory across a number of markets, highlighting lacklustre demand," Standard Chartered analyst Dan Smith said. "We expect to see further increases heading into year-end, hence imports are likely to remain weak." While the dollar was down 0.4 percent against a basket of currencies on Friday, it is still up around 3 percent higher from mid September. The euro rose to a three-week high versus the dollar, on optimism that Greece's lenders were nearing an agreement that will release aid. A weaker dollar makes commodities priced in the unit less expensive for holders of other currencies. TACTICAL VIEW Credit Suisse has upgraded its tactical view on commodities to positive, it said in a note on Friday. "We think the sector could see further moderate gains toward year-end. Leading indicators show that economic growth has bottomed. This is positive for cyclical assets like commodities," it said. Still, volumes were modest after Thursday's Thanksgiving holiday in the United States, with copper trading just over 5,000 lots by 1115 GMT. Next week, the copper industry meets in Shanghai during Asia Copper Week, as Chinese buyers hammer out terms with Chile's Codelco and BHP Billiton, among others, for 2013 term shipments and processing fees. Traders say Chinese buyers and smelters have a stronger hand this year, given slowing demand and rising supply. In term talks this year, Codelco has offered Japanese copper customers a 2013 term premium of $85 a tonne, down 9 percent from its 2012 premium, reflecting a slowdown in demand in Japan and the global economy. Tin was at $20,540 from a last bid of $20,455 on Thursday, while zinc, used in galvanizing was at $1,937 f rom a close of $1,925. Battery material lead was at $2,169 from $2,165 and aluminium was at $1,953 from $1,944.50. Nickel was at $16,603 from $16,550. Metal Prices at 1134 GMT Comex copper in cents/lb, LME prices in $/T and SHFE prices in yuan/T Metal Last Change Pct Move End 2011 Ytd Pct move COMEX Cu 349.50 -0.10 -0.03 344.75 1.38 LME Alum 1952.50 8.00 +0.41 2020.00 -3.34 LME Cu 7705.50 -9.50 -0.12 7600.00 1.39 LME Lead 2168.00 3.00 +0.14 2034.00 6.59 LME Nickel 16590.00 40.00 +0.24 18650.00 -11.05 LME Tin 20500.00 75.00 +0.37 19200.00 6.77 LME Zinc 1935.50 10.50 +0.55 1845.00 4.91 SHFE Alu 15340.00 5.00 +0.03 15845.00 -3.19 SHFE Cu* 56140.00 100.00 +0.18 55360.00 1.41 SHFE Zin 15045.00 50.00 +0.33 14795.00 1.69 ** Benchmark month for COMEX copper * 3rd contract month for SHFE AL, CU and ZN SHFE ZN began trading on 26/3/07

Source