METALS-Copper slips as macro concerns, firmer dollar weigh

Nov 17 (Reuters) - Copper prices fell for a second straight session on Monday, weighed down by a slightly firmer dollar, fading hopes for another Federal Reserve rate cut and a host of macro concerns.

Benchmark three-month copper CMCU3 on the London Metal Exchange was down 0.7% at $10,776 per metric ton as of 1710 GMT. The metal is considered a bellwether for the health of the global economy.

"There is little change to the underlying narrative in base metals ... with the market largely defined by muted activity as participants wait for delayed U.S. economic data and clarity on monetary policy," Neil Welsh, head of metals at Britannia Global Markets, said in a note.

The dollar index .DXY nudged up 0.2%, making dollar-denominated metals more expensive for holders of other currencies.

Sentiment also continues to be held back by macro signals from top metals consumer China, where recent industrial data has been lacklustre even as major infrastructure and green energy investments support long-term demand for base metals.

"It's all macro-related," Panmure Liberum analyst Tom Price said. "If you look across the copper signals, price actions are high and restricted to a tight range and all the other signals look like they are deteriorating."

The cash LME copper contract last traded at a $29-a-ton discount to the three-month forward CMCU0-3, indicating no pressing need for short-term metal.

In zinc, however, the cash contract was commanding a $100 premium CMZN0-3, underscoring supply tightness amid LME stocks MZN-STOCKS of less than 40,000 tons. Three-month zinc CMZN3 dropped 1% to $2,989.50, its lowest since October 22.

Aluminium CMAL3 fell 1.4% to $2,817, having touched its lowest since October 23. "The ali price has been rising so much and now people may think it is good price to short," one trader said. The metal struck $2,920 on November 3, its highest since May 2022.

Nickel CMNI3 plunged 1.5% to $14,675, after hitting its lowest since April, while lead CMPB3 dropped 1.3% to $2,036.50 after 42,025 tons of lead deliveries into Kaohsiung 2#MPBSTX-LOC-GRD. Tin CMSN3 was the only LME metal to rise, adding 0.1% to $36,835.