Shanghai: Roger Federer put world No. 2 Rafael Nadal in his place by beating the Spaniard 6-4, 7-5 on Saturday to set up a Masters Cup final against American James Blake.

Blake was the last man to qualify for the tournament but needed only 76 minutes to thrash Argentina’s defending champion David Nalbandian 6-4, 6-1 and reach the final in his first appearance at the $4.45-million event.

In doubles, India’s Leander Paes and his Czech partner Martin Damm went down fighting to second-seeded Jonas Bjorkman and Max Mirnyi in the semi-finals to bow out of the tournament.

The sixth-seeded Indo-Czech pair had a nerve-wracking battle in which they gave their best shot before bowing out 7-6 (7-4) 6-7 (4-7) 7-6 (5-7) in three-hour 17 minutes.

Nadal, whose form dipped after he lost to Federer in their previous meeting in the Wimbledon final, was always chasing the world No. 1 after being broken in his first service game. The Swiss wrapped up the contest with a crosscourt winner from the tightest of angles on his third match point after one hour and 53 minutes to extend his winning streak to 28 games.

Federer’s delight in defeating the man who denied him a Grand Slam this year by beating him in the French Open final was clear, and his normally cool demeanour betrayed him as he fell to his knees before punching the air in celebration. The 2002 and 2003 champion becomes the first man to reach four successive Masters Cup finals since Ivan Lendl reached nine in a row in the 1980s.