METALS-Base metals rise on softer dollar, but physical demand remains tepid

Oct 11 (Reuters) - Base metals prices rose on Friday, supported by a weaker U.S. dollar, although they were down on a weekly basis in London as a recent rally in prices hurt physical demand. Three-month copper on the London Metal Exchange (LME) CMCU3 was up 0.4% at $9,759 per metric ton by 031 GMT, while the most-traded November copper contract on the Shanghai Futures Exchange (SHFE) SCFcv1 advanced 0.6% to 77,490 yuan ($10,957.76) a ton. The U.S. dollar fell from two-month highs after signs of weakness in the labour market boosted the case for quicker Federal Reserve rate cuts. A softer dollar makes greenback-priced metals cheaper to holders of other currencies. Meanwhile, LME copper was down 1.9% on a weekly basis, set for its biggest drop since the week of Sept. 2. The SHFE was closed from Oct. 1-7 for a public holiday. "Copper demand has weakened due to surging prices over the last few days. Prices are not stable yet, and this price level is still higher than before the U.S. cut interest rates. Buyers are adopting a wait-and-see approach," said CRU analyst He Tianyu. Metal prices were further weighed down this week after China's stimulus announcements on Tuesday failed market expectations and lacked detail. Market participants are now awaiting further details on Chinese stimulus, scheduled for Saturday. LME aluminium CMAL3 increased 1.3% to $2,619 a ton, nickel CMNI3 edged up 0.5% at $17,630, zinc CMZN3 increased 1% to $3,118, lead CMPB3 rose 0.8% to $2,082 and tin CMSN3 climbed 0.7% to $33,050. SHFE aluminium SAFcv1 increased 1.5% to 20,785 yuan a ton, nickel SNIcv1 jumped 1.6% to 134,420 yuan, zinc SZNcv1 climbed 2.7% to 25,510 yuan, lead SPBcv1 edged up 0.5% at 16,665 yuan and tin SSNcv1 jumped 1.6% to 268,380 yuan. For the top stories in metals and other news, click TOP/MTL or MET/L ($1 = 7.0717 yuan) (Reporting by Mai Nguyen in Hanoi; Editing by Sonia Cheema) (([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 ))