India copper futures extend losses, track rupee

MUMBAI, July 24 (Reuters) - India copper futures edged lower for a second day on Friday weighed by a strong rupee along with overseas leads, but may recover later in the session on brightening economic outlook, analysts said.

The most-active August copper contract MCCQ9 was 0.56 percent lower at 265.90 rupees per kg at 10:28 a.m., after losing 0.6 percent in the previous session. The Indian rupee rose as gains in regional stock markets raised expectations for more capital flows into the domestic market, but import payments by oil refiners will be watched. London copper fell nearly 1 percent as investors paused after a recent rally pushed the price to nine-month highs. "It would take a minor correction initially, but may bounce back later on positive U.S. data," said Aurobinda Prasad, deputy manager-research with Karvy Comtrade.

Brightening the economic outlook, U.S. home sales rose for the third straight month in June and prices hit their highest level since October, fuelling hopes the housing sector is on its way to recovery. [ID:nN23398724]

Copper may be in the range of 265-272 rupees, Abhishek Chauhan, technical analyst, Angel Commodities, said.

In other base metals, July zinc MZIN9 was 0.31 percent higher at 80.40 rupees per kg, while lead for July delivery MLDN9 was steady at 82.34 rupees per kg at 10:29 a.m.

(Reporting by Siddesh Mayenkar; Editing by Harish Nambiar)