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Copper posted its biggest one-day loss in two months on Monday, as the dollar rose and demand prospects dimmed after data showed a deceleration in manufacturing growth in emerging and developed economies alike last month. In New York, the key September COMEX contract settled at $4.41 per lb, down 6.95 cents or 1.55 percent on the day.
Investors were initially greeted Monday with purchasing managers' indices showing slower-than-expected growth in Asian and European factories in July. US data later in the day added to the bearish tone, dragging prices to their session lows, as manufacturing rates in the world's largest economy nearly contracted. "The market did react in a swift knee-jerk reaction to the yet again extremely weak US data," said Eugen Weinberg, commodities analyst at Commerzbank.

Copyright Reuters, 2011

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