METALS-Base metals fall on firm dollar, weak China data

(Updates prices) By Mai Nguyen Sept 3 (Reuters) - Prices of nonferrous metals fell on Tuesday, weighed down by a firm dollar and demand worries, following weak manufacturing data from top consumer China. Three-month copper on the London Metal Exchange CMCU3 fell 1.1% to $9,083.50 per metric ton by 0810 GMT, while the most-traded October copper contract on the Shanghai Futures Exchange SCFcv1 closed down 1.2% at 72,890 yuan ($10,244.70) a ton. The dollar held close to a two-week high, making greenback-priced metals more expensive to holders of other currencies. China's manufacturing activity sank to a six-month low in August, official data showed. The sector accounts for a large portion of metals demand and is one of the major indicators for the health of the Chinese economy. "Commodities are getting smoked for the second day in a row," a trader said, attributing the drop to generic selling and poor Global Purchasing Managers' Indices. There's no strong expectations of a recovery in demand, the trader added. "(I am) waiting for either stimulus or rate cuts. It's a longer-term view. Once rate cuts happen - and if they do so quick enough - countries can start releasing stimulus packages," the trader said. LME aluminium CMAL3 fell 0.4% to $2,415.50 a ton, nickel CMNI3 edged down 0.2% at $16,600, tin CMSN3 shed 1% to $31,070 and lead CMPB3 decreased 0.3% to $2,053.50. LME zinc CMZN3 fell 0.7% to $2,820.50 a ton. It climbed more than 8% in August, its best monthly gain since April, supported by supply concerns. Disappointing China data, especially from the construction sector, will likely result in bullish zinc investors exiting and further price declines in the next few weeks, said Sandeep Daga, a director at Metal Intelligence Centre. SHFE aluminium SAFcv1 ended down 0.8% at 19,500 yuan a ton, zinc SZNcv1 fell 1.3% to 23,535 yuan, lead SPBcv1 edged down 0.6% at 17,255 yuan, tin SSNcv1 dropped 2.1% to 254,640 yuan and nickel SNIcv1 was nearly flat at 128,810 yuan. For the top stories in metals and other news, click TOP/MTL or MET/L ($1 = 7.1149 yuan (Reporting by Mai Nguyen in Hanoi; Editing by Rashmi Aich and Sumana Nandy) (([email protected]; Reuters Messaging: [email protected])) (( For related news and prices, click on the codes in brackets: LME price overview RING= COMEX copper futures 0#HG: All metals news MTL All commodities news C Foreign exchange rates FX= SPEED GUIDES LME/INDEX ))