METALS-Copper rises on fears of supply shortage amid virus-related curbs

Feb 6 (Reuters) - Copper prices rose on Thursday, fueled by worries over a potential supply shortage of refined metals, as the industry started to feel the impact of transport restrictions in China amid efforts to contain a virus outbreak.

Three-month copper on the London Metal Exchange rose

as much as 1.3% to $5,797 a tonne, its highest since Jan. 27,

while aluminum advanced 0.6% to $1,727 a tonne and zinc

increased 1.1% to $2,238 a tonne. "Not only is the demand side impacted, but also the supply side," said a metals analyst based in China, who cannot be identified because of company policy. "If the outbreak situation does not improve, some smelters may consider cutting production," the analyst said, adding that aluminum and zinc were also affected by the same concerns. Some container ports in China are congested with less working labor amid the outbreak. The most-traded copper contract on the Shanghai Futures

Exchange rose 1.3% to 46,010 yuan ($6,601.24) a tonne,while aluminum climbed 0.3% to 13,655 yuan a tonne,zinc edged up 0.3% to 17,350 yuan a tonne.

"All my previously booked vessels out of China have to be postponed," said a trader in Singapore. "Nothing can be guaranteed now, even the new shipment schedule. I am not the only one getting affected." Output of China's copper smelters could fall by more than 15% in February from last month, while zinc production could also drop if transport restrictions are not eased soon, said research house Antaike.


* TOLL: Another 73 people on the Chinese mainland died in the coronavirus outbreak, the highest daily increase taking the toll to 563.

* SCRAP: China issued import quotas for another 4,620 tonnes of high-grade copper scrap and 1,440 tonnes of aluminum scrap for use in 2020.

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* Asian stocks edged up, cheered by record closes in Wall Street benchmarks after encouraging economic data, although investors kept a wary eye on the developments in the coronavirus outbreak.


0615 India Cash Reserve Ratio Feb 60615 India Repo Rate Feb 60615 India Reverse Repo Rate Feb 60700 Germany Industrial Orders MM Dec1330 US Initial Jobless Claims Weekly

PRICES Three month LME copper Most active ShFE copper Three month LME aluminum Most active ShFE aluminum Three month LME zinc Most active ShFE zinc Three month LME lead Most active ShFE lead Three month LME nickel Most active ShFE nickel Three month LME tin Most active ShFE tin


($1 = 6.9699 Chinese yuan)

(Reporting by Mai Nguyen, Editing by Sherry Jacob-Phillips)