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GRAINS-Soybeans ease as record S. American crop eyed; wheat up 3rd day
February 3, 2014 / 4:03 AM / 4 years ago

GRAINS-Soybeans ease as record S. American crop eyed; wheat up 3rd day

* U.S. soy ticks down after two-session gain
    * Brazil on track for record soybean production
    * Wind, snow hinder Black Sea grain exports

 (Adds analyst's quote; updates prices)
    By Naveen Thukral
    SINGAPORE, Feb 3 (Reuters) - U.S. soybean futures fell for
the first time in three sessions on Monday as the market took a
breather on expectations of record production in Brazil and
Argentina.
    Wheat rose for a third consecutive session with support from
extreme cold weather slowing grain movement in the Black Sea
region, while corn was unchanged after posting gains in the
previous two months.
    Chicago Board Of Trade March soybeans fell 0.2 percent
to $12.79-3/4 a bushel by 0328 GMT, after rising 1.1 percent in
the previous two sessions.
    March wheat rose 0.2 percent to $5.56-3/4 a bushel, 
while March corn was flat at $4.34 a bushel.
    Record soybean production in Brazil and Argentina is likely
to boost competition in the global market in the months ahead
although infrastructure bottlenecks could slow the movement of
cargoes.
    Investors in the oilseed market are expecting China, the
world's top soybean importer, to switch to buying more shipments
from Latin America.
    "The oilseed market continues to look at the South American
harvest and what China might do in response to that," said Luke
Mathews, commodities strategist at the Commonwealth Bank of
Australia.
    Farmers in Brazil's top soybean-producing state Mato Grosso
are reporting soy harvest yields well above what they had
expected, which if the trend continues, could make Brazil the
world's top producer of the oilseed. 
    In the wheat market, there was support from slowing grain
movement in the Black Sea region.
    Russia has halted grains exports from the Black Sea port of
Novorossiisk due to windy weather, while Ukraine's national
railway has imposed temporary restrictions on cargo deliveries
to the Black Sea port of Odessa due to snow drifts.
    U.S. corn futures were flat on Monday after gaining in
December and January, with strong global demand underpinning the
market.
    The U.S. Agriculture Department said on Thursday corn
exports last week were 1.8 million tonnes, the most so far in
the 2013/14 marketing season.
    Large speculators trimmed their net short positions in CBOT
corn futures in the week to Jan. 28, regulatory data released on
Friday showed. 
    The Commodity Futures Trading Commission's weekly
commitments of traders report also showed that noncommercial
traders, a category that includes hedge funds, increased their
net short position in CBOT wheat and cut their net long position
in soybeans. 

  Prices at  0328 GMT
  Contract        Last    Change  Pct chg  Two-day chg MA 30   RSI 
  CBOT wheat     556.75     1.00  +0.18%    +0.59%     582.54   35
  CBOT corn      434.00     0.00  +0.00%    +0.12%     427.92   59
  CBOT soy      1279.75    -3.00  -0.23%    +0.37%    1292.08   38
  CBOT rice      $15.40    $0.00  +0.00%    -0.16%     $15.46   38
  WTI crude      $97.08   -$0.41  -0.42%    -1.17%     $96.10   56
  Currencies                                                
  Euro/dlr       $1.349   $0.000  +0.04%    -0.48%
  USD/AUD         0.875    0.000  -0.02%    -0.44%
  Most active contracts
  Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight
  RSI 14, exponential
 
 (Editing by Muralikumar Anantharaman)

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