US copper sinks on strong dollar, economic concerns

NEW YORK, July 6 (Reuters) - U.S. copper futures tumbled to a 1-1/2 week low Monday morning as investors sought the safety of the dollar amid mounting concerns about the strength of the global economic recovery.

For detailed report on global copper markets, click on [MET/L]

* Copper for September delivery HGU9 was trading down 7.20 cents, or 3.1 percent, at $2.2335 a lb by 9:57 a.m. EDT (1357 GMT) on the New York Mercantile Exchange's COMEX division.

* Range from $2.3110 to $2.2055, its lowest level since June 24.

* COMEX estimated futures volume at 5,845 lots by 9 a.m.

* Copper down in extended correction from last Thursday's nonfarm payrolls data. [ID:nN01210643]

* Metal prices expected to see more weakness at least for the early part of this week amid doubts about the strength of the global recovery - MF Global metals analyst, Edward Meir.

* Global economic concerns boost safe-haven dollar demand, making metals priced in the American currency less attractive to non-U.S. investors. [USD/]

* Copper off earlier lows in response to stronger-than-expected non-manufacturing index. [ID:nWEN0263]

* Copper sentiment dampened by back-to-back inflows of the metal into London Metal Exchange warehouses.

* LME warehouse stocks <LME/STX1> rose 900 tonnes on Monday to 269,175 tonnes, following up a 4,050-tonne increase on Friday.

* Copper inventories in warehouses monitored by the Shanghai Futures Exchange rose 7 percent to 59,980 tonnes from 56,088 tonnes a week earlier. [ID:nBJD000933]

* COMEX copper stocks CMWSU unchanged at 59,795 short tons as of Thursday.

* Morgan Stanley (MS.N) upped its 2009 copper price forecast by 48 percent, and raised its 2010 forecast by 52 percent, partly due to a strong recovery in China, the world's largest consumer of the metal. [ID:nL3597629]

* LME copper for three-months delivery MCU3 last traded at $4,897 a tonne, from a close at $5,000 a tonne on Friday. (Reporting by Chris Kelly; Editing by Lisa Shumaker)