SINGAPORE, Sept 26 (Reuters) - London copper was steady on Thursday, but resurfacing worries over a U.S. federal debt default and a dimming outlook for copper demand ahead of a week-long holiday in top consumer China dragged on prices.

FUNDAMENTALS

* Three-month copper on the London Metal Exchange CMCU3 had edged down 0.25 percent to $7,176 a tonne by 0116 GMT, paring small gains from the previous session when it closed up by less than 1 percent.

* Copper prices have this week traded in a narrowing band of $7,120-$7,260 a tonne, within a wider range of $7,000-$7,500, with chart patterns suggesting prices may test downside support, traders said.

* The most-traded December copper contract on the Shanghai Futures Exchange SCFcv1 was little changed at 51,740 yuan ($8,500) a tonne.

* The U.S. Congress, already struggling to avert a government shutdown next week, turned its attention on Wednesday to the other fiscal bullet it had to dodge: a federal debt default. ID:nL2N0HL0FU

* China has appointed five new monetary policy advisers to its central bank, the cabinet said, the first reshuffle this year of a group that wields influence on crucial financial matters including currency and interest rate reforms. ID:nL4N0HL10X

* China markets will be shut from Tuesday for a week of holidays.

* Keywell LCC, a Chicago-based metals recycler, has filed for Chapter 11 bankruptcy protection, blaming weak nickel prices and poor stainless steel demand, according to a court filing that outlined plans to sell the company to a larger rival.

ID:nL2N0HL2LL

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TOP/MTL , TOP/MACRO or MET/L

MARKETS NEWS

* Asian share markets were left in limbo on Thursday as a paucity of major economic news left investors with little choice but to sweat out the latest battle over the U.S. budget.

* The U.S. dollar struggled to make any headway in Asia on Thursday, having lost ground overnight as the United States made little progress in averting a government shutdown next week or on raising the limit on its borrowing. USD/

DATA/EVENTS (GMT)

0645 France consumer confidence FRCONC=ECI

0800 Euro zone M3 money supply EUCBM3=ECI

1230 U.S. final Q2 GDP USGDPR=ECI

1230 U.S. weekly jobless claims USJOB=ECI

1400 U.S. pending home sales USNAR=ECI

PRICES

Three month LME copper CMCU3

Most active ShFE copper SCFcv1

Three month LME aluminium CMAL3

Most active ShFE aluminium SAFcv1

Three month LME zinc CMZN3

Most active ShFE zinc SZNcv1

Three month LME lead CMPB3

Most active ShFE lead SPBcv1

Three month LME nickel CMNI3

Three month LME tin CMSN3

($1 = 6.1200 Chinese yuan)

(Reporting by Melanie Burton; Editing by Joseph Radford)

((melanie.burton@thomsonreuters.com)(+65 6870 3017)(Reuters Messaging: melanie.burton.thomsonreuters.com@reuters.net)) 

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