* LME copper off 0.9 pct after rising the most in a month * Scepticism on euro zone bailout fund spurs caution * Coming Up: U.S. consumer confidence, 1500 GMT (Adds comments, updates prices) By Manolo Serapio Jr SINGAPORE, Nov 29 (Reuters) - London copper pulled back on Tuesday, after posting its biggest single-day gain in a month in the previous session, as investors weighed whether euro zone policymakers can actually come up with solid measures to resolve a widening sovereign debt crisis. Hopes that Europe would take bolder steps to address its long-running debt crisis, which has sharply dented the outlook for global commodity demand, lifted three-month copper on the London Metal Exchange by nearly 4 percent on Monday, its steepest rise since Oct. 27. By 0335 GMT, LME copper was down 0.9 percent at $7,427.75 a tonne, after hitting a one-week top of $7,535 on Monday. All eyes are now on a meeting of euro zone finance ministers later in the day, at which they are expected approve detailed rules for the region's 440 billion euro bailout fund that will clear the way for the facility to attract cash from private and public investors to its co-investment funds. "There was some optimism in markets yesterday but Europe's intractable problems are clearly difficult to combat and there are no quick fixes in sight," said Ong Yi Ling, analyst at Phillip Futures. "The European Financial Stability Facility may not have sufficient clout and we will still need greater involvement of the European Central Bank. Investors are being cautious ahead of the meeting." COPPER STOCKPILES FALL LME copper has fallen 23 percent this year and is on route for its first annual decline since 2008, when the global financial crisis tripped the world economy. In Shanghai, the most-active February copper contract eased 0.4 percent to 55,130 yuan a tonne. The euro zone's debt crisis has become the biggest threat to the global economy and a break-up of the region can no longer be ruled out, according to the OECD, which urged the European Central Bank to play a bigger role in defusing the crisis. The Organisation for Economic Cooperation and Development said the European Central Bank should cut interest rates and step up its bond purchase programme to support confidence and economic activity in the euro zone, which has entered a mild recession. Ratings agency Moody's said it could downgrade the subordinated debt of 87 banks across 15 European Union nations on concerns that governments would be too cash-strapped to bail out holders of riskier bank debt in times of stress. In the United States, Fitch Ratings revised its outlook on the U.S. credit rating to negative from stable after a special congressional committee last week failed to agree on at least $1.2 trillion in deficit-reduction measures. Fitch gave the U.S. until 2013 to address its swelling budget deficit before it downgrades the country's AAA rating. But in a sign copper demand remains firm in the face of troubled economies in Europe and the United States, LME copper stockpiles MCU-STOCKS fell 1,950 tonnes to 392,775 tonnes on Monday, the lowest level since February. In China, copper inventories in warehouses monitored by the Shanghai Futures Exchange CU-STX-SGH fell 12 percent to 65,205 tonnes last week. Despite the weakness in European consumption, Phillip Futures' Ong expects demand from China to grow about 6-7 percent in 2012, albeit slower than forecast double-digit expansion this year, as the world's top copper consumer continues to invest in big-ticket infrastructure projects. But copper prices may be stuck in a tight range until the first quarter of 2012, said a Shanghai-based metals trader. "I'm quite neutral at the moment, not so bullish, a bit bearish. I don't see any big price movements until the first quarter," he said. "But when people get tired of bad news from Europe, maybe they will begin to consider taking long positions again." Base metals prices at 0335 GMT Metal Last Change Pct Move YTD pct chg LME Cu 7427.75 -67.25 -0.90 -22.63 SHFE CU FUT FEB2 55130 -240 -0.43 -23.27 LME Alum 2031.00 5.00 +0.25 -17.77 SHFE AL FUT FEB2 15890 60 +0.38 -5.64 HG COPPER DEC1 335.45 -0.80 -0.18 -24.44 LME Zinc 1932.25 -24.75 -1.26 -21.26 SHFE ZN FUT MAR2 15205 15 +0.10 -21.93 LME Nickel 17350.00 170.00 +0.99 -29.90 LME Lead 2021.00 -4.00 -0.20 -20.75 SHFE PB FUT 15440 -5 -0.03 -15.86 LME Tin 20600.00 -250.00 -1.20 -23.42 LME/Shanghai arb 331 Shanghai and COMEX contracts show most active months ^ LME 3-m copper in yuan, including 17 pct VAT, minus SHFE third month

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