Reuters reported that London copper edged lower on signs of flagging growth in top metals consumer China, though prices were supported by enduring hopes the European Central Bank will this week kick off a round of global easing.

Fundamentals;
1. Three month copper on the London Metal Exchange was trading at USD 7,665.0 per ton by 0115 GMT dropping 0.17% and reversing gains logged the previous session when it hit a 1 week high of USD 7,700. Prices are reaching the top of a range held since late July with a break above 7,720, the August 23rd 2012 peak, likely to spark further chart based buying.

2. The most traded December copper contract on the Shanghai Futures Exchange slipped 0.16 percent to CNY 56,090 per ton.

3. Moody's Investors Service changed the outlook on its Aaa rating for the European Union to negative warning it might downgrade the bloc if it decides to cut the ratings on the EU's four biggest budget backers: Germany, France, Britain and the Netherlands.

4. Mr Mario Draghi president of ECB said European lawmakers that purchases of short term sovereign bonds by the ECB would not breach European Union rules.

5. Australia's Fortescue Metals Group slashed capital spending by about a quarter and cut its expansion schedule for iron ore production due to a softening market on the back of weak demand in China.

6. Southern Copper was on Monday shutting its Peruvian smelter Ilo for maintenance work that will last a month.