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METALS-Copper holds above 1-month low as weaker dollar lifts metals

(Adds Shanghai closing prices, updates London prices) MELBOURNE/BEIJING, Nov 10 (Reuters) - London Metal Exchange copper held above one-month lows on Friday as a weaker dollar broadly lifted base metals, although it remained on track for a weekly loss. "Copper prices will continue to trade sideways over the coming weeks as a stronger U.S. dollar outlook and weakening Chinese imports of refined copper weigh on prices," said BMI Research in a report. "High-frequency indicators such as stable stock levels, a persistently negative cash to 3-month spread and a global monthly surplus registered in August imply the copper price rally is overdone compared to near-term fundamentals." BMI expects prices to average $6,100 a tonne in 2018.

FUNDAMENTALS

* COPPER: LME copper was up 0.5 percent at $6,840 a tonne, as of 0732 GMT, following small losses in the previous session when it sank to its weakest since Oct. 11 at $6,761.50. Shanghai Futures Exchange copper closed up 0.1 percent at 53,580 yuan ($8,070.98) a tonne. OPEN INTEREST: Open interest in the LME copper contract has fallen below 320,000 lots to the lowest since May and close to the lowest in a year. <MCU-OI-TOT>

* U.S. DOLLAR: The U.S. dollar slipped to a six-day low against a basket of currencies on Thursday as investors fretted over a Republican tax plan that would delay corporate tax cuts.

* JAPAN MANUFACTURERS: Confidence among Japanese manufacturers slipped in November from a decade-high seen the previous month, a Reuters poll showed, but it remained strong - underscoring the economy's continuing expansion.

* NOBLE: Commodities trader Noble Group reported a third-quarter loss of $1.17 billion, hit by charges from disposals of some of its businesses, and warned that the operating environment remains challenging.

* FREEPORT: Armed separatists have occupied five villages in Indonesia's Papua province, threatening to disrupt Freeport-McMoRan Inc's giant Grasberg copper mine, which has already been hit this year by labour unrest and a dispute over operating rights.

* LEAD: LME lead was the only metal on track for a weekly gain, of near 3 percent, as prices hit the highest since Oct. 17 at $2,545 a tonne at 0700 GMT before easing back to $2,542 a tonne. LME stocks have fallen to the lowest in almost two years below 150,000 tonnes. <MPBSTX-TOTAL>

* LEAD FUNDAMENTALS: Global demand for refined lead metal will exceed supply by 125,000 tonnes this year, while a deficit of 45,000 tonnes is expected in 2018, according to the International Lead and Zinc Study Group (ILZSG).

MARKETS NEWS

* Asian shares slipped on Friday on the uncertainty over U.S. tax reforms.

BASE METALS PRICES 0732 GMT Three month LME copper 6840 Most active ShFE copper 53570 Three month LME aluminium 2087 Most active ShFE aluminium 15520 Three month LME zinc 3195 Most active ShFE zinc 25600 Three month LME lead 2542 Most active ShFE lead 19280 Three month LME nickel 12370 Most active ShFE nickel 99120 Three month LME tin 19575 Most active ShFE tin 143880

BASE METALS ARBITRAGE

LME/SHFE COPPER LMESHFCUc3 526.65 LME/SHFE ALUMINIUM LMESHFALc3 -598.52 LME/SHFE ZINC LMESHFZNc3 528.28 LME/SHFE LEAD LMESHFPBc3 -962.05

($1 = 6.6386 Chinese yuan)

(Reporting by Melanie Burton and Tom Daly in BEIJING; Editing