NEW YORK, Jun 20, 2011 (Dow Jones Commodities News via Comtex) -- Copper futures fell Monday as uncertainty over the Greek debt crisis and worries over U.S. economic growth weighed on the market.

The most actively traded contract, for July delivery, was recently down 5.35 cents, or 1.3%, at $4.0485 a pound on the Comex division of the New York Mercantile Exchange.

Thinly traded June delivery copper was down 6.65 cents, or 1.6%, at $4.0365 a pound.

European officials worked on a plan to avoid a Greek default at a two-day meeting of finance ministers in Luxembourg that began Sunday. A euro zone default event could destabilize the European banking system and spark another global financial crisis, analysts said.

Europe's economic block has played an important role in driving global copper consumption, though its demand is far outpaced by that of top copper consumer China. The red metal is widely used for electrical wiring and copper plumbing, and demand tends to rise alongside economic growth.

However, growing uncertainty over Greece's financial future and a spate of downbeat economic data out of the U.S., the world's second largest copper consumer, has damped market sentiment for the red metal.

Moreover, demand for copper tends to ease during the summer months as many have already bought metal for summer construction projects, said Sterling Smith, analyst at Country Hedging.

"I do think any pullback in commodity prices is transitory. Copper seasonally does not perform too well during the summer," he said.

Investors are also concerned about slower growth from China, and traders have reduced their exposure to the metal, said Leon Westgate, an analyst with Standard Bank, in a note.

The dollar will be watched by market participants as meetings on Greece continue.