BEIJING, July 18 (Reuters) - Zinc prices on Wednesday pulled away from one-year lows hit earlier in the week and the metal recorded its first daily jump in seven trading days in Shanghai, tracking a rise on the London Metal Exchange (LME) amid plunging inventories. Shanghai Futures Exchange (ShFE) zinc stocks ZN-STX-SGH dropped by 16,919 tonnes to 58,016 tonnes last week, their lowest since February 2008, while LME zinc stocks MZN-STOCKS have fallen for six straight days. Zinc, used to galvanise steel, is down 10.1 percent so far this month in Shanghai and 11.3 percent in London on concerns about oversupply, but ANZ said it had been boosted by positive data from top metals consumer China on Tuesday. The metal has "found support after the Chinese house price data reading rose at its fastest pace in 21 months," ANZ wrote in a note, adding that zinc was "one of the metals most leveraged to the housing and construction sectors." FUNDAMENTALS * SHANGHAI ZINC: The most-traded September zinc contract on the ShFE rallied late in the session to close 2.4 percent higher at 20,725 yuan ($3,089.09) a tonne, above Tuesday's one-year low of 20,055 yuan a tonne. It traded lower 10 of the previous 13 trading days. * LME ZINC: Three-month zinc on the LME had a mixed session but was trading up 0.8 percent at $2,531.50 a tonne, as of 0711 GMT, extending a 1.5-percent jump in the previous session after hitting a one-year low of $2,573.85 on Monday. * GRAPHIC: Expectations for a rise in zinc concentrate supplies in coming years have driven down the metal price in London to one-year lows, but smelting capacity constraints suggest the sell-off is premature. * ZINC: Commerzbank analysts said on Tuesday they thought the recent zinc price slide was excessive. "While last year's supply deficit of 460,000 tonnes is set to decline to around 260,000 tonnes this year, it nonetheless remains sizeable," they wrote in a note. * COPPER: Shanghai copper closed down 1.2 percent at 48,260 yuan a tonne, while London copper was trading down 0.6 percent at $6,116.50 a tonne as the dollar index strengthened. * VEDANTA: India's southern state of Tamil Nadu will ask the nation's environment court to dismiss a Vedanta Ltd petition seeking to reopen its copper smelter, a lawyer representing the state government said on Wednesday. * BRAZIL; Norsk Hydro ASA said its Paragominas bauxite mine in Brazil would temporarily suspend work contracts for 80 employees for up to five months from Friday, and reduce the number of contractors by 175 in the coming weeks.