US copper futures end down but off lows in reversal

NEW YORK, July 6 (Reuters) - U.S. copper futures ended down on Monday, but bounced from their lows as chart-based buying near key technical support levels helped offset earlier losses tied to concerns about the strength of the economic recovery, analysts said.

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

* Copper for September delivery HGU9 ended down 4.30 cents at $2.2625 a lb on the New York Mercantile Exchange's COMEX division.

* Ranged from $2.3110 to $2.2055, the benchmark contract's lowest level since June 24.

* Copper pinned in a broad trading range between $2.20 and $2.46 - Ralph Preston, futures analyst with HeritageWestFutures.com in San Diego, California.

* "I would look for some volatility within that range over the coming weeks, with a short-term bias toward the downside." - Preston.

* COMEX estimated futures volume at a thinly traded 12,803 lots by 1 p.m. EDT (1700 GMT). Final volume on Thursday at 17,670 lots.

* Open interest up 1,626 lots to 104,648 contracts open as of June 2.

* Potential bullish pattern in copper after the market's ability to hold a line of support near $2.20 - Sterling Smith, analyst for Country Hedging Inc in Inner Grove Heights, Minnesota.

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

* Dollar up broadly as global economic concerns boost safe-haven demand for the American currency. [USD/]

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

* LME warehouse stocks <LME/STX1> rose 900 tonnes 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]