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GRAINS-Wheat dips for 2nd day on improved weather outlook, soy firms
October 15, 2015 / 1:05 AM / 2 years ago

GRAINS-Wheat dips for 2nd day on improved weather outlook, soy firms

SINGAPORE, Oct 15 (Reuters) - U.S. wheat futures lost more
ground on Thursday, falling for six out seven sessions under
pressure from forecasts of beneficial rains in parts of the U.S.
winter crop belt.
    Soybeans edged higher in early Asian trade on concerns over
dryness in Brazil, while corn slid for a second session.
    
    FUNDAMENTALS
    * The wheat market is being weighed down by forecasts for
showers next week in portions of the southern U.S. Plains, where
dry conditions have hindered wheat planting and germination.
    * The upside potential in U.S. wheat is likely to be limited
because of stiff competition in the international market.
    * Egypt, the world's biggest wheat importer, set a tender on
Wednesday to buy an unspecified amount of wheat from global
suppliers for shipment from Nov. 21-30. The country has awarded
most of the tenders this year to European and Black Sea
suppliers.
    * Soybean prices are underpinned by concerns over dryness in
Brazil and strong demand from China.
    * Conditions in Mato Grosso, Brazil's top soybean state,
have been dry, while farther south, Rio Grande do Sul has
endured excessive rains.
    * Private exporters reported sales of 235,000 tonnes of U.S.
soybeans for delivery to China during the 2015/16 marketing year
that began on Sept. 1.
    * The U.S. Corn Belt has been mostly dry in recent weeks,
ideal for harvest. The U.S. Department of Agriculture said 42
percent of the U.S. corn crop was cut as of Sunday, near the
five-year average of 43 percent.
    * Soybean harvest was 62 percent complete, above the five
year average of 54 percent, the agency said in its weekly crop
progress report.
    * Commodity funds sold an estimated net 8,000 Chicago Board
of Trade corn contracts on Wednesday, trade sources said.
The funds were net sellers of 5,000 wheat
contracts and 4,000 soybean contracts.
    
    MARKET NEWS
    * Asian shares rose on Thursday and the dollar struggled
near multi-week lows after weak U.S. economic data added to
expectations that the Federal Reserve will delay hiking interest
rates.
    
    DATA AHEAD (GMT) 
1230 U.S. Consumer prices Sep 
1230 U.S. New York Fed manufacturing Oct 
1230 U.S. Weekly jobless claims 
1400 U.S. Philly Fed business index Oct
    
    
  Grains prices at  0048 GMT
  Contract        Last    Change  Pct chg  Two-day chg MA 30   RSI 
  CBOT wheat     507.50    -0.75  -0.15%    +0.15%     498.18   48
  CBOT corn      378.00    -1.00  -0.26%    -0.72%     382.75   39
  CBOT soy       912.25     1.75  +0.19%    +2.79%     880.92   69
  CBOT rice      $12.06   -$0.08  -0.70%    -6.40%     $12.86   17
  WTI crude      $46.33   -$0.31  -0.66%    -0.71%     $46.06   45
  Currencies                                                
  Euro/dlr       $1.147   $0.011  +0.99%    +1.00%
  USD/AUD         0.731   -0.005  -0.65%    -0.27%
  Most active contracts
  Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
  RSI 14, exponential
                                                                                                       
 

 (Reporting by Naveen Thukral; Editing by Joseph Radford)

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