May 11, 2018 / 7:44 PM / 9 days ago

GRAINS-Soybeans to one-month low on technicals, trade worries

    * Pre-weekend long liquidation seen in soy, corn
    * CBOT July wheat below $5 for first time in two weeks
    * Traders digest bearish USDA data for corn, wheat 

 (New throughout; updates prices, adds quotes, changes byline,
changes dateline, previous PARIS/SINGAPORE)
    By Julie Ingwersen
    CHICAGO, May 11 (Reuters) - U.S. soybean futures fell to
their lowest level in a month on Friday on a mix of technical
selling ahead of the weekend and uncertainty about how trade
disputes would affect exports, analysts said.
    Wheat and corn also fell, pressured by long liquidation and
bearish data in Thursday's supply/demand reports from the U.S.
Department of Agriculture.
    Chicago Board of Trade July soybeans settled down 18
cents at $10.03-1/4 per bushel after dipping to $10.02, the
contract's lowest level since April 4. 
    CBOT July corn ended down 5-1/2 cents at $3.96-1/2,
dropping below psychological support at the $4 mark. CBOT July
soft red winter wheat finished down 7-3/4 cents at
$4.98-3/4 per bushel, falling below $5 for the first time in two
weeks.
    Soybeans fell as traders shed long positions ahead of the
weekend. Commodity funds hold sizable net long positions in
corn, soybeans and soymeal, leaving those markets vulnerable to
bouts of long liquidation.
    "Fridays are 'red' days because hedge funds don't want to
carry their positions over the weekend," said Roy Huckabay,
analyst with Linn & Associates, a Chicago brokerage.
    Traders also remain nervous about trade issues with China,
the world's top soy buyer. The USDA on Thursday forecast that
U.S. soybean exports will break a record in the upcoming
marketing year.
    However, just a month ago, Beijing proposed slapping tariffs
of 25 percent on all U.S. shipments of the oilseed.
    "The whole China trade thing in beans is just problematic
for everything. It's a problem for beans, and it weighs on
everything else," said Dan Cekander, president of DC Analysis.
    Corn futures sagged on follow-through selling from
Thursday's lower close and reminders of hefty U.S. stockpiles.
The USDA on Thursday projected 2018/19 U.S. corn ending stocks
at 1.682 billion bushels, above the average trade estimate of
1.628 billion.
    "I think the U.S. carry-out is a disappointment," Cekander
said, noting that the USDA projected a drop in U.S. corn exports
in the 2018/19 marketing year to 2.1 billion bushels, down from
2.225 billion in 2017/18.
    Wheat fell as traders digested Thursday's
larger-than-expected U.S. wheat crop estimate of 1.821 billion
bushels.
    "Some investors may have decided that without another crop
downgrade the rally in wheat prices has come to an end. We agree
with that view," said Tobin Gorey, director of agricultural
strategy at Commonwealth Bank of Australia.  
    Winter wheat grown in the southern U.S. Plains has struggled
with drought, but the USDA said combined production of spring
and durum wheat would increase 34 percent from the previous
year.
        
    CBOT settlement prices: 
                                  Net      Pct   Volume
                         Last  change   change         
 CBOT wheat     WN8    498.75   -7.75     -1.5    51740
 CBOT corn      CN8    396.50   -5.50     -1.4   210240
 CBOT soybeans  SN8   1003.25  -18.00     -1.8   109833
 CBOT soymeal   SMN8   378.60   -7.50     -1.9    50998
 CBOT soyoil    BON8    31.31    0.18      0.6    43388
     NOTE: CBOT July wheat, corn and soybeans shown in cents per
bushel, soymeal in dollars per short ton and soyoil in cents per
lb.

 (Reporting by Julie Ingwersen; additional reporting by Gus
Trompiz in Paris and Naveen Thukral in Singapore; editing by
Sherry Jacob-Phillips, Elaine Hardcastle and Jonathan Oatis)
  
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