METALS-Copper drops as Syria worries dent risk appetite
* Obama wins backing for Syria strike from key figures in Congress
* Top Indonesia tin producer calls force majeure on exports
(Adds comment, detail, updates prices) SINGAPORE, Sept 4 (Reuters) - London copper prices slipped on Wednesday as an increased likelihood for U.S. action against Syria dented investor appetite for riskier assets, although signs the global economy was finally getting back on track checked losses. Upbeat factory activity data from China and the United States have boosted the outlook for metals demand, helping lift copper from three-week lows hit last week, but gains have been offset by geopolitical tensions and a rout in emerging market currencies ahead of an imminent roll back in U.S. stimulus. "The lift from China should have been substantially more, but you've got emerging market currency concerns and Syria engulfing confidence," said Jonathan Barratt, chief executive of Sydney-based commodity research firm Barratt's Bulletin. "The longer it takes to resolve Syria the more sapping of confidence we'll see that will eventually drag on copper," he said, adding that he expects copper to remain in a $7,000-$7,500 range for now. Three-month copper on the London Metal Exchange had slipped 0.55 percent to $7,205 a tonne by 0726 GMT. It finished little changed the session before. Copper prices are consolidating after falling to three-week lows of $7,081.50 a tonne last week, and have been trading in a $7,080-$7,420 band for most of the past month. The most-traded December copper contract on the Shanghai Futures Exchange slid 0.76 percent to close at 52,090 yuan ($8,500) a tonne. Both benchmarks are however up so far this week, supported Led by firm U.S. growth, the outlook is gradually improving for advanced economies while even crisis-weary Europe is at last joining the recovery, the OECD said on Tuesday.
Investors are now bracing for a key U.S. jobs report due on Friday, which might prove decisive in determining whether the economy is strong enough for the Federal Reserve to dial back its bond purchases in mid-September. The Fed's decision has been complicated by the potential military strike on Syria that could upset global financial markets, analysts said. In other metals, Indonesia's top tin exporter PT Timah has stopped shipments and declared force majeure since new regulations forcing domestic producers to trade on a local exchange came into force last Friday. The shortfall is already feeding into global prices, with cash tin on the London Metal Exchange soaring to the highest premium against the benchmark contract in more than 10 months on Wednesday. <CMSN0-3>
Three month LME copper Most active ShFE copper Three month LME aluminium Most active ShFE aluminium Three month LME zinc Most active ShFE zinc Three month LME lead Most active ShFE lead Three month LME nickel Three month LME tin ($1 = 6.1206 Chinese yuan)
(Editing by Himani Sarkar)