METALS-London copper steady, rising risk appetite lends support
* China factory data supports prices
* Domestic copper premiums in China fall to 2 week low
* Coming up; Construction spending mm Jul at 1400 GMT
(Adds comment, detail; updates prices)
SINGAPORE, Sept 3 (Reuters) - London copper steadied on Tuesday, supported as risk appetite picked up after solid factory data in China and Europe and on a delay to a possible U.S. military strike in Syria.
Improving demand from the world's top copper consumer has been stronger than expected over the summer months, helping to shore up copper prices above the $7,000 a tonne level in August.
However supply is expected to swell into the second half as mines increase their output, which could limit prices.
"In China's case we definitely saw quite decent physical demand in August. We are also going into Q3 which is the peak season for production for export orders so that will put a floor under prices for now," said analyst Sijin Cheng of Barclays in Singapore.
"Still, on the macro side, there are a lot of uncertainties. while production data has been outperforming month after month. There are not too many bright spots for copper right now," she added.
Three-month copper on the London Metal Exchange was little changed at $7,242.75 a tonne by 0149 GMT, from $7,285 a tonne intraday.
Copper prices rose by 2 percent in the previous session and are rebounding from a three-week trough of $7,081.50 a tonne on Friday. Prices have been hemmed in a broader $7,000-$7,500 band for most of the past month, suggesting upside momentum could be limited from here.
The most-traded December copper contract on the Shanghai Futures Exchange was also steady at 52,430 yuan ($8,600) a tonne.
European factories experienced robust growth in August and China bounced back on rising demand, lifting prospects for broad-based recovery on the back of the U.S. revival.
President Barack Obama's efforts to persuade the U.S. Congress to back his plan to attack Syria met with scepticism on Monday from lawmakers in his own Democratic Party who expressed concern the United States would be dragged into a new Middle East conflict.
Physical premiums for copper in China's bonded zone have been easing for the past fortnight, while copper's strong gains on Monday deterred buys in China's domestic market.
Premiums for copper in China's local market fell to 40 yuan on Monday against the front month ShFe copper contract from 230 yuan on Friday, the lowest in two weeks. ($1 = 6.1196 Chinese yuan)
(Reporting by Melanie Burton; Editing by Richard Pullin and Michael Perry)