SHANGHAI: London copper edged down to a 1-1/2-week low on Tuesday, weighed by poor physical demand and disappointment at the lack of economic stimulus measures by China, the United States and Europe despite a bleaker global outlook.
Shanghai copper futures also fell, influenced by the Shanghai Composite Index which posted its biggest daily loss in a month on Monday.
Copper prices are expected to remain within a tight range ahead of European and the US economic data that investors will scoured for clues on the health of the global economy.
Three-month copper on the London Metal Exchange slipped 0.2 percent $7,381 per tonne by 0407 GMT, hitting the lowest level since Aug 3, and extending the losses of the past four sessions.
The most active November copper contract on the Shanghai Futures Exchange edged down 0.7 percent to 54,050 yuan ($8,500) per tonne, tracking Chinese equities and pressured by investors moving their November positions to December.
"Shanghai equities fell from mid-morning, dampening sentiment, especially because there are no sign of those stimulus measures many investors have been hoping for," said CIFCO Futures analyst Zhou Jie.
In physical markets, sluggish demand for base metals also kept prices lower, said Henry Liu, head of commodity research at Mirae Asset Securities in Hong Kong.
"Base metals consumers are just not in a hurry to restock beyond a hand-to-mouth basis since inventories are high while the Chinese government spending initiatives have not been reflected on order books yet," he said.
Shanghai copper is biased to fall to 53,900 yuan per tonne, according to a technical analysis by Reuters market analyst Wang Tao.
After last week's bleak China trade data and Monday's report showing a slowdown in Japan's economy, traders will be seeking cues from the euro zone's second quarter gross domestic product, which is expected to contract, and July US retail sales and consumer prices - both due later in the day.
Deteriorating global growth prospects will stoke expectations for further stimulus steps from policymakers, which would help prop up demand for industrial metals.
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