US Copper Ends Lower; Losses Limited by dlr, Data

NEW YORK, Sept 14 (Reuters) –

U.S. copper futures closed
lower on Tuesday, but managed to bounce away from their
cheapest levels with the help of a weaker dollar and upbeat
retail sales data that reinforced improving economic and demand
prospects.

Copper for December delivery HGZ0 fell 1.05 cents to
close at $3.4685 per lb on the COMEX metals division of the New
York Mercantile Exchange.
 

Range from $3.4280 to $3.4975.

COMEX estimated copper futures volume at 26,072 lots by 1
p.m. EDT (1700 GMT). Final volume on Monday hit 23,353 lots.
IZQI Open interest up 978 lots at 141,905 contracts as of
Sept. 13.

Copper weighed down by mild bout of profit-taking after
Monday run-up tied to robust Chinese economic data - analysts.

Support under market from data showing sales at U.S.
retailers posted their largest gain in five months in August.

Data reinforced initial signs of strength in U.S. economy
Justin Lennon, analyst with Mitsui Bussan Commodities Inc.

U.S. business inventories rose by more than expected in
July.

Copper losses capped by late sell-off in U.S. dollar,
which tends to make dollar-priced metals cheaper to buy for
non-U.S. investors. [USD/]

Trade digested weaker-than-expected German ZEW and euro
zone industrial production figures.

Demand prospects bolstered by news Monday that China's
industrial production rose 13.9 percent year on year, up after
slowing to 13.4 percent in July.

 London Metal Exchange (LME) copper warehouse stocks edged
up 75 tonnes to 390,525 tonnes, but are still down some 30
percent since mid-February. 

COMEX copper warehouse stocks fell by 272 short tons to
93,157 short tons as of Monday, Sept. 13.

LME copper CMCU3 closed up $30 at $7,660 per tonne.