Copper settled down -0.42% at 427.15 as sentiments remained weak since last week as prices sank to a two-week low, depressed by concerns about the Chinese property sector and news of increased production. The International Monetary Fund (IMF) lowered its forecast for US GDP growth for 2014 from 2% to 1.7% on Wednesday in light of the country’s sluggish economy in the first quarter. The IMF, however, kept its outlook for US growth in 2015 and 2016 unchanged at 3%. The Chinese Premier Li Keqiang stated at a State Council executive meeting that China will maintain a stable monetary policy and ensure a reasonable growth in total credits to prop up the real economy. Some investors interpreted the statement as a sign of continuously easy monetary policy, which will help boost stock and commodity markets for recent trading days. A preliminary Purchasing Managers’ Index from HSBC Holdings Plc and Markit Economics was at 52. Stockpiles tracked by the LME fell for a second day to 156,300 tons, according to bourse data yesterday. The People’s Bank of China (PBOC) reported that China’s forex receipts at financial institutions dwindled RMB 88.3 billion to RMB 29.45 trillion in June, down for the first time after rising in 10 straight months. PMIs from Europe and US will be released today, which is optimistic. Technically market is under fresh selling as market has witnessed gain in open interest by 6.73% to settled at 10523 while prices down -1.8 rupee, now Copper is getting support at 425.6 and below same could see a test of 424.1 level, And resistance is now likely to be seen at 429, a move above could see prices testing 430.9.

Trading Ideas:

Copper trading range for the day is 424.1-430.9.

Copper declined as traders looked ahead to key Chinese economic data to gauge the strength of the world’s second largest economy.

Copper’s downside seen limited as a major company in China, the world's biggest buyer of the metal, avoided a debt default.

Euro zone enterprises' fiscal earnings reports were positive, but euro zone July CCI was disappointing.