Copper settled down -0.91% at 453.80 fell to a one-week low, as downbeat manufacturing data out of China fuelled concerns over the strength of the world's second largest economy and biggest consumer of the industrial metal. But the decline was limited as strong euro zone manufacturing PMI boosted the euro and drove the US dollar into a 1% slump. The Markit flash US manufacturing PMI, however, weakened in January. Lower Chicago Fed National Activity Index indicated slowing growth in the US. In other economic news, the US initial jobless claims ticked up last week, driving down US stocks. LME copper prices fell below USD 7,200/mt and finished USD 82/mt lower at USD 7,216/mt. A slew of economic reports from China and the US released Thursday came in negative, putting a dent on markets. HSBC's China manufacturing PMI for January dropped from December's 50.5 to 49.6, well below market expectations and the lowest level in six months. The weaker reading was due mostly to declining new orders and investment. Comments by chief economists of the IMF that China's GDP growth would slow to 6% compounded market concerns over Chinese economy. While Economic data from European countries, however, were encouraging. The euro zone's manufacturing PMI during January climbed to the peak of 53.9 since May, 2011, with the reading in service sectors up to a four-month high of 51.9 and the composite PMI index up to 53.2 from 52.1. Technically market is under long liquidation as market has witnessed drop in open interest by -6.25% to settled at 9997 while prices down -4.15 rupee, now Copper is getting support at 451 and below same could see a test of 448.2 level, And resistance is now likely to be seen at 457.5, a move above could see prices testing 461.2.

Trading Ideas:

Copper trading range for the day is 448.2-461.2.

Copper dropped as downbeat manufacturing data out of China fuelled concerns over the strength of China's economy and biggest consumer of metal.

Data showed that the preliminary reading of China's HSBC manufacturing purchasing managers' index fell to a six-month low of 49.6 in January

Chinese economic activity in January and February is typically skewed as businesses slow for the Lunar New Year holiday, set for next week.