Investing.com - Copper futures started the week lower on Monday, after data showed that China's factory output grew at the weakest pace in nearly six years in August, adding to concerns over a slowdown in the world’s second largest economy.
On the Comex division of the New York Mercantile Exchange, copper for December delivery fell to $3.065 a pound, before recovering to last trade at $3.077 during European morning hours, down 2.9 cents, or 0.95%.
Futures were likely to find support at $3.062, the low from September 11 and resistance at $3.109, the high from September 12.
Data released over the weekend showed that industrial production in China rose at an annualized rate of 6.9% in August, missing estimates for a gain of 8.8% and slowing from an increase of 9.0% a month earlier.
Fixed asset investment, which tracks construction activity, rose 16.5% in the January-August period, below expectations for a gain of 16.9% and slowing from 17.0% in the January-July period.
The weaker than expected data underlined concerns about China's economy and sparked speculation policymakers in Beijing will have to introduce fresh stimulus to meet the government's 7.5% growth target.
China is the world's largest copper consumer, accounting for nearly 40% of global demand.
Elsewhere on the Comex, gold for December delivery tacked on $4.10, or 0.33%, to trade at $1,235.60 a troy ounce, while silver for December delivery picked up 7.6 cents, or 0.41%, to trade at $18.68 an ounce.
In the week ahead, investors will be focusing on the outcome of Wednesday’s Federal Reserve policy meeting. Fed Chair Janet Yellen was to hold a press conference following the meeting.
The dollar remained well bid amid speculation Fed officials could adopt more hawkish language, possibly by omitting mention of its commitment to keep rates low for a "considerable time".
The central bank was expected to cut its asset purchase program by another $10 billion, which would keep it on track for winding up the program in October, and to start raising interest rates sometime in mid-2015.
Gold costs money to store and struggles to compete yield-bearing assets when interest rates are on the rise.