METALS-Copper slides as rising stocks in focus

Feb 5 (Reuters) - Copper fell on Thursday as demand worries simmered around rising stock levels in the warehouses registered with the London Metal Exchange, while a stronger dollar also weighed.

The most-active copper contract on the Shanghai Futures Exchange SCFcv1 slid 3.45% to 101,300 yuan ($14,583.93) a metric ton as of 0315 GMT.

The benchmark three-month copper on the LME CMCU3 slipped 0.86% to $12,932.50 a ton.

Copper previously rebounded from a two-session slump in the commodities market, supported by China's plan to expand its copper strategic reserves.

However, rising stocks tested demand for the red metal widely used in construction and electrification at high prices, especially in top consumer China.

A 12,750-ton inflow into LME's Asian warehouses in Taiwan and South Korea brought on-warrant copper stocks registered with the exchange to 155,725 tons, the highest since March.

Copper inventories in the SHFE sheds CU-STX-SGH have also been rising since December, totalling 133,004 tons on Friday, according to the exchange's weekly stock report, the highest level since April.

Production is set to increase further with China's refined copper output set to grow by around 5%, according to the state-backed China Nonferrous Metal Industry Association.

Meanwhile, the U.S. dollar =USD strengthened, weakening the greenback-denominated commodities by making them less affordable for investors using other currencies.

Elsewhere, the market is also focusing on the U.S. plan of strategic stockpiling of critical minerals to counter China's dominance, with the latest step announced on Wednesday to marshal allies into a preferential trade bloc and propose coordinated price floors.

Glencore GLEN.L agreed to sell a 40% stake in its two copper-cobalt mines in the Democratic Republic of Congo to Orion CMC, a U.S. government-backed company.

Among other SHFE base metals, aluminium SAFcv1 tumbled 1.86%, zinc SZNcv1 dropped 1.17%, lead SPBcv1 nudged 0.12% lower, nickel SNIcv1 lost 1.93% and tin SSNcv1 plunged 6.88%.

Elsewhere on the LME, aluminium CMAL3 lost 1.19%, zinc CMZN3 dropped 0.65%, lead CMPB3 dipped 0.28%, nickel CMNI3 shed 1.72% and tin CMSN3 slumped 3.62%.

Thursday, February 5

DATA/EVENTS (GMT)

0700 Germany Industrial Orders MM Dec

0700 Germany Manufacturing O/P Cur Price SA Dec

0700 Germany Consumer Goods SA Dec

0930 UK S&P Global PMI: Msc Composite - Output Jan

1200 UK BOE Bank Rate Feb

1315 EU ECB Refinancing, Deposit Rate Feb

($1 = 6.9460 Chinese yuan)