Weaker dollar lifts US copper ahead of Fed move

NEW YORK, Nov 4 (Reuters) - U.S. copper futures climbed
back up above $3 per lb early Wednesday, as the dollar fell in
advance of an interest rate decision and accompanying statement
from the U.S. Federal Reserve later in the day.

For detailed report on global copper markets, click on
[MET/L]

* Copper for December delivery HGZ9 up 4.15 cents, or 1.4
percent, to $2.9975 a lb by 10:22 a.m. EST (1522 GMT) on the
New York Mercantile Exchange's COMEX division.

* Range from $2.9615 to $3.0150.

* COMEX estimated futures volume at 9,397 lots by 9 a.m.

* Copper up amid improved risk appetite as dollar retreats
from one-month high versus a basket of currencies .DXY,
making dollar priced commodities more attractive for non-U.S.
investors. [USD/]

* Fed expected to reaffirm its intention to keep U.S.
interest rates close to zero percent for an "extended period"
of time to support the economy. [ID:nN04432358]

* "Any hint that the Fed is looking to roll back some of
its recent stimulus could have a profound upward impact on the
dollar, and likely result in another down move in commodities.
- MF Global analyst Edward Meir.

* "However, should the Fed not change anything, we could
see the selling pressure on the dollar resume, perhaps leading
to further gains going to the close." - Meir.

* Copper supported by data showing a second consecutive
month of growth in U.S. service sector. [ID:nN042167]

* Market awaits monthly U.S. employment data on Friday,
where unemployment rate is forecast at 9.9 percent in October
from 9.8 percent in September, while non-farm payrolls seen
falling to 175,000 from a decline of 263,000.

* London Metal Exchange warehouse stocks up by 250 tonnes
to 374,050 tonnes on Wednesday. <0#LME-STOCKS>

* COMEX copper warehouse stocks increased by 223 short tons
on Tuesday to 62,423 short tons. CMWSU

* Strike at Chile's Spence copper mine in its third week
after government-mediated talks with owner BHP Billiton (BLT.L: Quote, Profile, Research)
(BHP.AX: Quote, Profile, Research) failed. [ID:nN03502709]

* LME three-month copper MCU3 last traded at $6,590 a
tonne, up $130 from Tuesday's close.
(Reporting by Chris Kelly; Editing by Lisa Shumaker)