FUNDAMENTALS US gold futures steadied after the producer prices and weekly jobless claims data. Analysts said a strong dollar and fading expectations of more monetary easing in the United States made the yellow metal vulnerable to more selling. US copper futures edged up, recovering after a 1 percent drop in the previous session, but concerns about the outlook for demand from top consumer China weighed on sentiment and kept prices within a tight trading range. LME copper stocks continued to fall, down 2,875 tonnes to 267,750 tonnes, the lowest level since July 2009. The ratio of canceled warrants - material earmarked for delivery - to the total stocks at 33.47 percent. ECONOMY New US claims for unemployment benefits fell back to a four-year low last week, a government report showed, suggesting further strengthening in the labor market. The US February producer price index rose 0.4 percent. MARKETS European shares traded near eight-month highs on a brighter global economic outlook, greater risk appetite, a strong dollar and rotation out of government debt.