* Soybeans rise from 6-day low on short-covering bounce
* Record Brazilian crop caps gains
* Wheat rises on strong demand, fund buying
(Adds details, quotes)
By Naveen Thukral
SINGAPORE, Feb 15 Chicago soybeans edged higher
on Wednesday with the market recovering after two days of falls
but the harvest of an all-time high crop in Brazil capped gains
in the market.
Wheat resumed its uptrend, rising for six out of seven
sessions as fund buying supported prices.
The Chicago Board of Trade most-active soybean contract
rose 0.1 percent to $10.46-1/4 a bushel by 0338 GMT. It
closed down 0.9 percent on Tuesday, after touching its lowest
since Feb. 8 at $10.42-1/2 a bushel.
Wheat climbed 0.4 percent to $4.51-1/4 a bushel,
edging closer to Monday's seven-and-half month high of $4.56 a
bushel. Corn rose 0.1 percent to $3.74-1/2 a bushel,
having ended the last session down 0.3 percent.
"There is a slight uptick in soybean prices but South
American crop outlook is pretty good and it is going to put
downward pressure on prices," said Phin Ziebell, agribusiness
economist at National Australia Bank.
"For wheat, soil moisture in the U.S. is favourable for the
crop. There are some small concerns in the Black Sea region but
overall the crop looks good. Russia is going to have a huge
harvest, so it is pretty hard to see much upside potential."
Soybean prices have been pressured by expectations of bumper
harvests in Brazil and Argentina that will boost competition for
Brazil soybean industry group Abiove said it expected local
production of the oilseed to hit 104.6 million tonnes in
2016/17, up from its December forecast of 101.7 million. It
pegged the country's soybean exports at 58.7 million tonnes.
U.S. farmers have made advance sales of up to half the
soybeans they expect to harvest this year, looking to get ahead
of the expected record South American crop.
Wheat is being boosted by fund buying although ample
supplies are expected anchor prices.
The Commodity Futures Trading Commission's weekly
commitments of traders report showed that non-commercial
traders, a category that includes hedge funds, trimmed their net
short position in CBOT wheat in the week to Feb. 7.
In news, Australian grain exports likely surged to an
all-time monthly high of more than 4 million tonnes last month,
smashing the previous record by a third on strong demand from
Saudi Arabia, China and India and lower prices amid a bumper
Grains prices at 0338 GMT
Contract Last Change Pct chg Two-day chg MA 30 RSI
CBOT wheat 451.25 1.75 +0.39% +0.50% 428.76 70
CBOT corn 374.50 0.25 +0.07% +0.00% 364.48 67
CBOT soy 1046.25 1.25 +0.12% -1.20% 1039.42 53
CBOT rice 9.43 -$0.01 -0.11% -1.46% $9.69 39
WTI crude 52.83 -$0.37 -0.70% -0.19% $52.81 46
Euro/dlr $1.058 -$0.002 -0.18% -0.56%
USD/AUD 0.7676 0.004 +0.50% +0.09%
Most active contracts
Wheat, corn and soy US cents/bushel. Rice: USD per
RSI 14, exponential
(Reporting by Naveen Thukral; Editing by Sunil Nair)