(Updates prices by Asian market close)

SINGAPORE, June 5 (Reuters) - Copper looked set for a

weekly gain despite a drop on Friday, as tightening supplies and

bullish sentiment helped offset wider macroeconomic concerns

tied to the Iran war and inflation.

Benchmark three-month copper on the London Metal

Exchange declined 1.34% to $13,745 a metric ton by 0700 GMT. It

was however up 0.7% for the week.

The most-active copper contract on the Shanghai

Futures Exchange fell 0.46% to 105,150 yuan ($15,521.90) a ton.

Copper has proven resilient to macroeconomic headwinds, with

"structurally driven demand offsetting cyclical weakness,"

Daniel Hynes, a senior commodity strategist at ANZ, said in a

note.

ANZ said on Thursday it expects copper prices to rise

towards $14,000 a ton by year-end, with demand growth from the

energy transition and AI infrastructure accelerating in the

medium term.

There were large orders to withdraw copper from LME

warehouses on Thursday, continuing the trend seen in recent

months.

LME copper inventories declined to 379,975

tons, their lowest since April 2, while COMEX copper stocks in

the U.S. rose to 642,709 short tons (583,056

tons).

"Non-U.S. (that is, LME, SHFE) copper exchange inventories

have in fact been declining over the past few months," Hynes

said.

Investors also awaited a recommendation from the U.S.

Department of Commerce on possible tariffs on imports of refined

copper, due by the end of the month.

In the Middle East, the Iran-backed Hezbollah militia

rejected a ceasefire in Lebanon on Thursday, undermining

optimism generated by Israel and Lebanon's reported agreement of

the ceasefire earlier that day.

Among other LME metals, aluminium fell 0.56%, zinc

declined 0.81%, lead lost 0.45%, nickel

dropped 0.9% and tin dropped 2.59%.

On the SHFE, aluminium dipped 0.33%, zinc

lost 0.88%, lead lost 0.42%, nickel dropped

1.64% and tin plunged 5.35%.

($1 = 6.7743 Chinese yuan)

(Reporting by Solomon Cefai; Editing by Harikrishnan Nair and

Subhranshu Sahu)