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By Bloomberg

Nickel dropped to the weakest in five months and lead industrial metals lower on speculation that China, the biggest consumer, will not expand economic stimulus.

The metal in London fell as much as 4.6 percent to $16,955 a metric ton, the lowest since April 10. China's Finance Minister Lou Jiwei said that growth in Asia's largest economy faces downward pressure and reiterated that there won't be major policy changes in response to individual economic indicators. A private gauge tomorrow may show manufacturing in China is slowing for a second month.

"Lou's comment has removed market hope that China will increase stimulus to meet this year's growth target of 7.5 percent," said Chae Un Soo, a metals trader at Korea Exchange Bank Futures Co. in Seoul. "For nickel, we've seen stop-loss selling after the price breached the June 12 low of $17,700."

Nickel for delivery in three months on the London Metal Exchange was down 3.1 percent at $17,225 a ton at 1:27 p.m. in Tokyo. The metal is up 24 percent this year, the most among the six main LME metals.

The preliminary Purchasing Managers' Index for September may come in at 50, according to Bloomberg News survey before data from HSBC Holdings Plc and Markit Economics. The gauge dropped to 50.2 in August, the lowest since May. A reading above 50 indicates expansion.

Copper in London fell 1.5 percent to $6,735.50 a ton, down for a fourth day, after capping a fourth weekly loss on Sept. 19, the longest run of declines since June 2013. In New York, the contract for December delivery slid 1.6 percent to $3.043 a pound. The metal for November delivery on the Shanghai Futures Exchange fell 1.7 percent to 47,960 yuan ($7,803) a ton.

On the LME, aluminum, zinc, nickel, tin and lead also declined.