METALS-Copper ends near 13-1/2 mth highs, dollar hinders

* Market eyes weak demand with LME copper stocks up again

* LME aluminum stocks surge by more than 23,000 tonnes

* Dollar recovers, equities give back gains

(Recasts with New York closing copper prices, adds analyst
comments, adds NEW YORK to dateline)

By Chris Kelly and Michael Taylor

NEW YORK/LONDON, Nov 17 (Reuters) - Copper ended little changed
on Tuesday, as sentiment remained upbeat and prices held near 13-1/2
month highs, despite a rebound in the dollar and another large build
in inventories.

Copper for December delivery HGZ9 on the New York Mercantile
Exchange's COMEX division ended up 0.50 cent at $3.1085 a lb, after
dealing between $3.0745 and $3.1185.

On the London Metal Exchange (LME), benchmark copper MCU3
closed down $29 at $6,826 a tonne, after hitting a session high at
$6,873.75, a level not seen since late September 2008.

"Base metals are defying a number of negative influences today,
including LME stocks, weaker-than-expected economic data, and a
stronger dollar," said David Thurtell, an analyst at Citigroup.

"Monetary conditions remain loose and investors seem to want to
put money to work, whether it's in gold or base metals."

Investment money flows have helped drive copper prices up more
than 120 percent this year amid growing expectations of a demand
revival next year.

"This is very much a supply-driven market, as much as it has
been a dollar-influenced market," said one New York-based metals
analyst. "China and India's populations are disproportionate in
comparison to the world's population, and that's where the demand is
... I see that being the driver here as much as anything else.

"Things are improving in the West, and demand is fairly robust
in the Asia-Pacific region," he said.

Gains were capped as the dollar rebounded from a recent 15-month
low after Federal Reserve Chairman Ben Bernanke's comments on the
currency spurred traders to trim long-term bets against the
greenback. [USD/] [ID:nN16514940]

A firmer U.S. currency makes metals priced in dollars more
expensive for holders of other currencies.

On the economic front, U.S. industrial output rose less than
expected in October. [ID:nN17547525]

INVENTORIES JUMP

Current demand for copper remains lackluster. Latest data showed
LME copper stocks jumped 3,550 tonnes to total 410,000 tonnes, their
highest since late April.

"Base metals are quite fully valued, with investors pricing in
bullish assumptions for the international economy," said David
Moore, commodity strategist at Commonwealth Bank of Australia. "At
some point, we'll see some pullback in prices."

Among other industrial metals, aluminum MAL3, used in
transport and packaging, bucked the trend in metals to touch a
three-month high of $2,053.75 a tonne, and ended at $2,036 from
$2,030, despite a surge in stockpiles back towards record levels.

Latest data showed stocks in LME warehouses jumped 23,300 tonnes
to total 4.56 million tonnes. Most of the gains were in Detroit -- a
key car-making region -- indicating demand from the autos sector is
weakening.

Stainless steel-making ingredient nickel MNI3, the worst
performing metal in recent weeks, closed at $16,900 a tonne from
$16,800.

Depressing prices, China's state-backed research group Antaike
said growth of real nickel consumption was expected to slow to 5.1
percent next year after a 37.6 percent surge this year as the
stainless steel market digests stocks. [ID:nHKG205509]

Also weighing on nickel, latest data showed LME nickel stocks
jumped 1,032 tonnes to total 132,912 tonnes, their highest since
early 1995.

Zinc MZN3 ended at $2,263 a tonne from $2,279, underpinned by
news that Australia's Century zinc mine will run out of concentrate
at its shipping port later on Tuesday. [ID:nSYD71227]

Tin MSN3 closed at $14,950 a tonne from $14,985, while battery
material lead MPB3 ended at $2,385 a tonne from $2,390.

Metal Prices at 1957 GMT
Metal Last Change Pct Move End 2008 Ytd Pct

move
COMEX Cu 310.55 0.50 +0.16 139.50 122.62
LME Alum 2054.75 24.75 +1.22 1535.00 33.86
LME Cu 6865.00 10.00 +0.15 3060.00 124.35
LME Lead 2370.00 -20.00 -0.84 999.00 137.24
LME Nickel 16870.00 70.00 +0.42 11700.00 44.19
LME Tin 15000.00 250.00 +1.69 10700.00 40.19
LME Zinc 2270.00 -9.00 -0.39 1208.00 87.91
SHFE Alu 15385.00 0.00 +0.00 11540.00 33.32
SHFE Cu* 53200.00 450.00 +0.85 23840.00 123.15
SHFE Zin 17540.00 35.00 +0.20 10120.00 73.32
** 1st contract month for COMEX copper * 3rd contract month for
SHFE AL, CU and ZN SHFE ZN began trading on 26/3/07
(Additional reporting by Maytaal Angel in London; Editing by
Marguerita Choy)