Copper settled down -0.77% at 328.35 tracking weakness from LME Copper which slid to a six-year low below $5,000 a tonne as a plunge in oil prices added to persistent concerns about slowing growth in China, where authorities intervened for a second day to calm volatile stock markets. Three-month copper on the LME ended down 1 percent at $4,985 a tonne, having earlier hit its lowest since mid-2009 at $4,976. It fell 1.5 percent on Tuesday, breaking below $5,000 for the first time in six years. Chinese stocks reversed sharp declines to end higher after the central bank injected more funds into the financial system, though worries about China persisted in global equity markets. In metals, investors remained unnerved in particular by stuttering factory growth in China and falls in power generation and property prices. While According to Glencore Plc, aggressive, synchronized short selling, especially from leveraged Chinese hedge funds, has pushed copper prices too low. Indicators of supply and demand suggest prices should be higher, the company said in its earnings statement on Wednesday. Mine disruptions from Chile to Zambia mean producers aren't delivering as much metal as expected, and mining companies may cut production if prices fall further, Glencore said. "It's hedge funds, it's Chinese hedge funds, it's U. S hedge funds. They're all just hitting the commodities at the moment." The plunge in copper is hurting companies like Glencore, which reported a 56 percent drop in first-half profit and cut the earnings forecast for its trading division. Technically market is getting support at 325.8 and below same could see a test of 323.3 level, And resistance is now likely to be seen at 331.1, a move above could see prices testing 333.9.

Trading Ideas:

Copper trading range for the day is 323.3-333.9.

Copper dropped tracking weakness from LME Copper which slid to a six-year low below $5,000 a tonne as persistent concerns about slowing growth in China.

Chinese stocks reversed sharp declines to end higher after the central bank injected more funds into the financial system, though worries persisted.

Investors remained unnerved in particular by stuttering factory growth in China and falls in power generation and property prices.