Copper settled down -0.49% at 427.40 while prices remained subdued as sentiment continued to be dented by weak Chinese factory data. Copper on LME closed at $6,942 per tonne, down from its previous closing price of $6,982 per tonne, hit a high of $6,987.50 per tonne before hitting a low of $6,915 per tonne, as volumes remained thin as US markets were closed on the Labour Day holiday. Weaker-than-expected Chinese factory data has weighed on sentiment, though with China's growth momentum slowing, expectations of further stimulus measures. China's official PMI and the HSBC manufacturing PMI data both came in lower than forecast earlier today, fuelling speculation that its economy is starting to show signs of weakness. The official Chinese manufacturing PMI came in at 51.1, just missing the forecast 51.2, while the HSBC final manufacturing PMI at 50.2 was 0.1 point lower than the consensus view. And data from Japan this morning also undershot, with its final manufacturing PMI coming in at 52.2 against a forecast of 52.4, while capital spending for the second quarter at three percent missed the expected 3.8 percent. With the US on Labor Day holiday today, trade is likely to be thin but the rest of the week may prove volatile for markets - a swathe of key economic data releases, central bank meetings and rising geopolitical tensions may introduce headwinds. Investor concern that further supplies were coming to the market were reinforced by news that Newmont Mining Corp planned to resume copper concentrate exports this week, a Indonesian mining ministry official said. Markets, however, remained cautious about turmoil in Ukraine. Technically market is getting support at 425.7 and below same could see a test of 424 level, And resistance is now likely to be seen at 429.4, a move above could see prices testing 431.4.

Trading Ideas:

Copper trading range for the day is 424-431.4.

Copper edged down as weak factory data from China stoked concerns of stuttering growth in the world's top metals consumer

Codelco reported a rise in its first-half production, largely due to the contribution of a new mine, but a slide in the market price of copper metal eroded profits.

Hedge funds and money managers raised net long position in copper in the week to Aug. 26, data from the CFTC showed.