India copper trades higher on weak dollar; Fed eyed

MUMBAI, Nov 4 (Reuters) - India copper futures traded higher on Wednesday supported by a weak dollar overseas, with investors awaiting the Federal Reserve's comments on the U.S. economy for further direction, analysts said.

The most-traded November copper contract MCCX9 was 0.88 percent higher at 311.10 rupees per kg at 4:28 p.m.

The dollar retreated from a one-month high against a currency basket as traders braced for a policy decision from the Federal Reserve, which was seen keeping its promise to keep interest rates low. [USD/]

A soft dollar typically lifts dollar-denominated copper by making it cheaper for investors outside the U.S.

On the economic calendar, markets expect the two-day U.S. Federal Reserve meeting to leave rates unchanged but will look for clues on future rate and monetary policies. [nFEDAHEAD]

"We expect copper to continue its higher movement on weak dollar, buying is recommended at 309/310 with a stop loss of 306.50 and targeting 315 rupees," said Tejas Seth, an analyst with SMC Global.

"We have important events in the evening, which would give further cues," Seth said.

Copper may trade in the range of 308-314 rupees, said Pranav Mer, an analyst with India Infoline.

In other base metals, zinc November MZIX9 was 1.41 percent higher at 104.40 rupees per kg, while lead November MLDX9 was 1.26 percent higher at 108.55 rupees per kg.

(Reporting by Siddesh Mayenkar; Editing by Sunil Nair)