* Copper falls over 2 pct as U.S. election results unfold
* Expectations of strong China demand keep floor under mkt (Updates prices)
SINGAPORE, Nov 9 (Reuters) - Copper edged lower on Wednesday, easing from last session’s one-year peak as trends in U.S. presidential election showed surprise victory for Republican candidate Donald Trump.
Expectations of strong demand from top consumer China kept a floor under the market.
Three-month copper on the London Metal Exchange was down 0.3 percent at $5,218 a tonne as of 0703 GMT, after declining more than 2 percent earlier in the session.
On Tuesday, the metal hit its highest since October last year at 5,250.50 a tonne.
The most-traded copper contract on the Shanghai Futures Exchange closed 3 percent higher at 41,600 yuan a tonne, tracking last session’s gains on the LME.
The U.S. dollar sank and stocks plummeted in market mayhem as investors faced the real possibility of a win by Trump that could upend the global political order.
The action in the market is likely to be dominated by U.S. election results, although market fundamentals look set to support industrial metals.
“Inventories of copper held on the LME fell for the fourteenth straight day and are now down 34 percent over the past six weeks,” ANZ said in a note. “That was backed up by data showing strong vehicle sales in China in October.”
Markets have tended to favour Clinton as a status quo candidate who would be considered a safe pair of hands at home on the world stage.
Elsewhere, Chinese banks extended 1.22 trillion yuan ($180 billion) in new loans in September, capping a record nine-month lending spree. Much of the growth in recent months has been driven by a rapid rise in home mortgages.
Still, China’s imports of copper fell 14.7 percent from a month ago to 290,000 tonnes in October, its lowest since February 2015, customs data showed on Tuesday. The country accounts for about half of global consumption of industrial metals.
The JPMorgan Global Manufacturing PMI rose to a two-year high of 52.0 in October.
PRICES
Three month LME copper
Most active ShFE copper
Three month LME aluminium
Most active ShFE aluminium
Three month LME zinc
Most active ShFE zinc
Three month LME lead
Most active ShFE lead
Three month LME nickel
Most active ShFE nickel
Three month LME tin
Most active ShFE tin (Reporting by Naveen Thukral; Editing by Joseph Radford and Subhranshu Sahu)
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