(Recasts, adds comment, updates details and prices) MELBOURNE, Nov 27 (Reuters) - London nickel led metals lower on Monday, as investors cut their exposure to risky assets as Beijing steps up a crackdown on shadow banking and other riskier forms of financing. China will check local governments' investment in railway projects, the state planner said on Friday, amid official concerns that breakneck infrastructure spending is racking up too much debt. "Today's selling is also a likely reaction to the U.S. PMI numbers which fell short on expectations, the Asian stock markets all losing a little ground and the fact that it appears some funds/houses will start shutting their books down by the end of this month," said Kingdom Futures in a report. "The year end could become even more volatile as liquidity further reduces ... we (may) not see the true direction of the market until after the Chinese New Year in mid February."
* London Metal Exchange nickel slid 2.5 percent to $11,730 a tonne, wiping out Friday's near 1 pct gains. Shanghai nickel fell 1 percent, with the most volatile metal also battered by expectations of rising supply.
* LME COPPER: Copper hit $7,024 a tonne, its highest in a month, before reversing to slide 1 percent to $6,934 a tonne by 0708 GMT. Shanghai Futures Exchange copper fell 0.4 percent to 53,900 yuan ($8,170).
* The U.S. flash composite PMI for November deteriorated to 54.6 compared to 55.2 in October, data over the weekend showed.
* CHINA ECONOMY: China's industrial firms weathered a broad government crackdown on financial risks as profits continued to surge last month in a stabilising force for the world's second-biggest economy, which has started to cool slightly in recent months.
* STRIKE CHILE: Unionized workers at BHP Billiton Plc's Escondida copper mine in Chile, the world's largest, ended a 24-hour strike on Friday but could put down their tools again next week over the company's planned layoffs, the union said.
* STRIKE PERU: Workers for the two largest unions at Southern Copper Corp in Peru said on Wednesday they had started an indefinite strike, demanding a fair share of mining profits, while the company said the stoppage had not affected operations.
* FREEPORT: Indonesia's Ministry of State-Owned Enterprises, tipped to oversee an acquisition of a majority stake in the local unit of Freeport-McMoRan Inc, has "no clear structure" yet for the deal, a ministry official said on Friday.
PRICES 0521 GMT
Three month LME copper 6988 Most active ShFE copper 54290 Three month LME aluminium 2121 Most active ShFE aluminium 14985 Three month LME zinc 3210 Most active ShFE zinc 25280 Three month LME lead 2470.5 Most active ShFE lead 18465 Three month LME nickel 11905 Most active ShFE nickel 95600 Three month LME tin 19470 Most active ShFE tin 143100 LME/SHFE COPPER LMESHFCUc3 469.48 LME/SHFE ALUMINIUM LMESHFALc3 -1265.26 LME/SHFE ZINC LMESHFZNc3 238.93 LME/SHFE LEAD LMESHFPBc3 -1122.24 LME/SHFE NICKEL LMESHFNIc3 2484.83
($1 = 6.5975 Chinese yuan renminbi)
(Reporting by Melanie Burton; editing by Richard Pullin)