* Chile copper output seen up in 2010, 2011 * Global copper demand seen jumping in 2011 * World mined copper output seen stable over next 2 years

SANTIAGO, June 4 (Reuters) - Chile's state copper think tank Cochilco said Friday it raised its forecast for copper prices to $3.20 per lb in 2010 despite the ongoing market volatility stemming from Europe's debt woes.

Cochilco, which helps set price views for the world's top copper miner Codelco [CODEL.UL], said it also raised its 2011 average copper price forecast to $3.30 from $3.20.

Better economic projections in some developed countries like the United States and Japan and a slower fall in demand in China have improved the price forecast for the year, said Cochilco's head of studies, Ana Isabel Zuniga.

Stronger global demand expectations have also increase price forecast.

Cochilco added that the current global financial turbulence stemming from Europe's debt woes will have little impact on price projections.

U.S. copper futures on the New York Mercantile Exchange were at about $2.90 per lb on Friday after trading this year between $2.80 and $3.60. Copper prices have been steadily rising since late 2008 when prices fell to nearly $1.25 as the global recession cut demand for the metal used in power and construction.

World copper demand is seen jumping 5.5 percent in 2011 to 19.1 million tonnes after a slight drop in 2010, Cochilco said.

Global mined copper output would be relatively stable over the next two years, said Cochilco. Copper output is seen falling sligthly to 15.9 million tonnes in 2010 from the previous year and later recover to reach 16.3 million tonnes in 2011.

Cochilco said it sees prices of molybdenum, a metal used to strengthen steel, ranging between $14 and $18 a lb in 2010.