* LME copper, aluminium headed for 5th straight week of gains * Rally seen as too fast, but strength to stay SHANGHAI, Aug 14 - Shanghai copper hit a fresh ten-and-half-month high on Friday, before paring most of its gains on weak Shanghai stock market performance, and as investors took profit after the whopping rally in the past few days. London copper also softened, after rising to a new high since early October last year, ignoring disappointing U.S. retail sales and jobless claims data and focusing instead on a surprise return to growth by Germany and France in the second quarter. [ID:nN13227479] [ID:nLD331672] "The metals market move is closely correlated to the performance of the stock markets lately, as the two markets are both buoyed by speculative buying," said Li Ye, an analyst at Star Futures. "Copper prices are due for a correction, but overall we don't see the trend to turn downward." The benchmark Shanghai Composite Index <.SSEC> fell nearly 3 percent, as worries about new supplies of shares joined a list of concerns, including a possible tightening of market liquidity, that left this year's rally looking overdone. Analysts and traders said Shanghai's metals performance has been rather passive -- lifted mostly by London's strong rally. "The lack of internal strength, in addition to high stockpiles after record imports, is likely to keep Shanghai copper lagging behind London's rally," said Zhu Bin, an analyst at Nanhua Futures. Shanghai's benchmark third-month copper futures contract rose to 51,280 yuan ($7,506) a tonne, the highest since early last October, in early trade. It eased to end up 0.4 percent at 50,220 yuan, 7.4 percent higher than a week earlier. The most-active Shanghai copper contract for November delivery edged up 0.6 percent to 50,160 yuan. Copper for three-month delivery on the London Metal Exchange edged down $10 to $6,385 tonne by 0701 GMT, on course for a fifth straight week of gains. Both Shanghai and London copper have more than doubled since the start of the year. "This rally has purely been pushed by speculative buying in the London market, and has little to do with the China factor," said a Shanghai-based trader. The Shanghai Futures Exchange is due to release its weekly stocks data later in the day. Traders and analysts expected the copper stockpile to rise moderately. LME aluminium fell $30 to $2,030 a tonne, but heading for five straight week of gains that have lifted prices by nearly 30 percent. Shanghai aluminium hit 15,460 yuan a tonne, the highest since the end of September last year, before softening to 15,240 yuan a tonne, up 2 percent on the week. "As aluminium prices return to the 15,000 yuan level, many producers will have the incentive to increase production, which will further increase oversupply in the metal," said Zhu of Nanhua Futures, adding that Shanghai prices are unlikely to rise beyond 16,000 yuan a tonne. Base metals prices at 0701 GMT Metal Last Change Pct Move End 2008 Pct chg09 LME Cu 6385.00 -10.00 -0.16 3060.00 108.66 SHFE Cu* 50220.00 190.00 +0.38 23840.00 110.65 LME Alum 2030.00 -30.00 -1.46 1535.00 32.25 SHFE Alum* 15240.00 -35.00 -0.23 11540.00 32.06 COMEX Cu** 291.05 0.00 +0.00 139.50 108.64 LME Zinc 1890.00 -20.00 -1.05 1208.00 56.46 SHFE Zinc 15020.00 -190.00 -1.25 10120.00 48.42 LME Nickel 20650.00 45.00 +0.22 11700.00 76.50 LME Lead 1905.00 -30.00 -1.55 999.00 90.69 LME Tin 14925.00 -220.00 -1.45 10700.00 39.49 LME/Shanghai arb^ 820 Dollar/yuan 6.8323 \ 6.8345 ** 1st contract month for COMEX copper * 3rd contact month for SHFE aluminium, copper and zinc ^ LME 3-m copper in yuan, including 17 pct VAT, minus SHFE third month

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