(Updates prices) LONDON, Dec 24 (Reuters) - Copper hovered near its highest since 2013 on Thursday and other industrial metals rose as investors bet on strong demand next year and stock markets rallied as the European Union and Britain agreed a trade deal. Benchmark copper on the London Metal Exchange (LME) was flat at $7,840.50 at 1705 GMT, not far below last week’s peak of $8,028. Other base metals were up by between 0.8% and 1.3%. Metals have rallied this year, supported by Chinese demand, government stimulus to reduce the impact of the coronavirus pandemic and a wave of speculative buying. Copper, aluminium, zinc, nickel and tin are up by between 12% and 27% in 2020, with several near multi-year highs. Lead has lagged, up by only around 2.5%. A bullish mood among investors and optimism about the outlook for demand are boosting prices, Capital Economics analyst Samuel Burman said. “Nevertheless, we think that industrial metals prices will fall next year as we expect slower demand growth in China and the rollout of coronavirus vaccines to allow mine supply to rebound,” he said. MARKETS: World stocks were up, with a stronger pound pushing the dollar lower. BULL RUN: A squeeze on the supply of global shares and sovereign bonds should help sustain a decade-long bull run in equities and keep bond yields low. TRUMP: U.S. President Donald Trump raised the prospect of a government shutdown. SUPPLY: MMG said transport had been temporarily disrupted near its Las Bambas copper mine in Peru, forcing it to declare force majeure on some supply contracts. CHARGES: China’s copper smelter group lowered its floor treatment and refining charges by 8.6% for the first quarter of 2021, sources said. ALUMINIUM: The premium for aluminium shipments to Japanese buyers for Q1 2021 has been set at $130 a tonne, up 48% from this quarter, sources said. PRICES: LME aluminium was up 0.9% at $2,024.50 per tonne, zinc rose 0.9% to $2,844, nickel gained 1.3% to $17,095, lead added 0.9% to $1,990, and tin was 0.8% higher at $20,200. (Reporting by Peter Hobson; editing by Kirsten Donovan and Mark Potter)