Wires

METALS-Copper ticks higher on low inventories, equity bounce

(Adds Shanghai closing prices; updates London prices) BEIJING, Jan 7 (Reuters) - London copper prices inched upwards for a second session on Tuesday, tracking equity markets, as inventories of the metal continued to drop, although trade and geopolitical uncertainties capped gains. Copper stocks in London Metal Exchange-monitored warehouses <MCU-STOCKS> have slumped by almost 60% since late-August, and are currently at 142,900 tonnes, the lowest since March 2019. Copper stocks "have been low for a while but the reality is no one has felt the need to chase prices higher," said Guy Wolf, global head of market analytics at brokerage Marex Spectron. "Without resolution on the tariff situation, no one is really going to feel the need to risk-up and start filling up the supply chain again," Wolf said, referring to a raft of tariffs imposed by Washington and Beijing on each others' goods.

A Chinese trade delegation is planning to travel to Washington on Jan. 13 for the signing of the U.S.-China Phase 1 trade deal between the two countries, the South China Morning Post reported on Sunday.

FUNDAMENTALS

* COPPER: Three-month copper on the LME rose 0.6% to $6,175 a tonne by 0707 GMT, extending a 0.2% gain from the previous session. The most-traded March copper contract on the Shanghai Futures Exchange closed up 0.4% at 49,010 yuan ($7,050.48) a tonne.

* TRADE: China will not increase its annual low-tariff import quotas for corn, wheat and rice to accommodate stepped-up purchases of farm goods from the United States, local media group Caixin quoted senior agriculture official Han Jun as saying on Tuesday.

* FIRST QUANTUM: Canada's First Quantum Minerals Ltd fell as much as nearly 4% on Monday after the copper miner said it had adopted a poison pill takeover defense.

* BAUXITE: Aluminum Corp of China Ltd, , known as Chalco, has shipped the first cargo of bauxite from its Boffa mine in Guinea, a company spokesman said.

* OTHER METALS: The LME complex was broadly higher, with nickel shrugging off an early dip to trade 1.1% higher at $13,975 a tonne, while lead added 0.3%, tin climbed 0.5% and zinc nudged up 0.1%. Aluminum was the only metal in the red, slipping 0.1% after hitting its highest since July 22 on Monday.

MARKETS NEWS

* Asian shares rebounded as investors' reassessed the risk of an all-out conflict between the United States and Iran, while Wall Street battled back to the black as tech stocks climbed.

PRICES

BASE METALS PRICES 0707 GMTThree month LME copper 6175Most active ShFE copper 49000Three month LME aluminum 1831Most active ShFE aluminum 14070Three month LME zinc 2326Most active ShFE zinc 18165Three month LME lead 1925Most active ShFE lead 14815Three month LME nickel 13955Most active ShFE nickel 109410Three month LME tin 16935Most active ShFE tin 135120

BASE METALS ARBITRAGE

LME/SHFE COPPER LMESHFCUc 537.23

3

LME/SHFE ALUMINIUM LMESHFALc -456.37

3

LME/SHFE ZINC LMESHFZNc -291.61

3

LME/SHFE LEAD LMESHFPBc -713.58

3

LME/SHFE NICKEL LMESHFNIc -2648.09

3

($1 = 6.9513 yuan)

(Reporting by Tom Daly; Editing by Arun Koyyur, Sherry Jacob-Phillips and Uttaresh.V)