Copper Futures Ended Nearly Flat On Tuesday

Copper futures ended nearly flat on Tuesday, rising slightly as investors stayed to the sidelines ahead of this week's monetary policy statements from the Federal Reserve and European Central Bank.The most actively traded copper contract, for September delivery, rose 0.15 cent to settle at $3.4175 a pound on the Comex division of the New York Mercantile Exchange.

Copper futures hit a one-week high earlier on as some traders who had bet on lower prices closed out those bets ahead of closely watched policymaking meetings by central banks in the U.S. and Europe. Trading volumes were thin, with traders reluctant to place large bets ahead of what could be major news.

"The modestly expanding global economy and very accommodative monetary policies are supporting prices," said Jason Schenker, president of Prestige Economics, in a note this week. "But the recent sovereign debt concerns out of Europe," as well as lower U.S. growth expectations, a lack of quantitative easing from the Fed, and weakness in Asia were weighing on the market.

Copper prices didn't show a strong reaction to a report that manufacturing activity in the Chicago area expanded in July even as hiring expanded at a slower pace. Traders, RBC Capital Markets said in a note, were instead looking ahead toward Wednesday's Institute for Supply Management report on nationwide manufacturing.