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334194

GRAINS-Wheat set for second monthly gain on Black Sea supply woes

SINGAPORE, Sept 30 (Reuters) - Chicago wheat futures edged higher on Friday, with the market poised for a second month of gains as concerns over supplies from the Black Sea region and adverse weather in key exporting countries supported prices.

Corn gained ground, although the grain was on track to finish September largely unchanged. Soybeans have lost almost 1% this month.

Investors in the agricultural markets were positioning ahead of Friday's U.S. Department of Agriculture (USDA) quarterly U.S. grain stocks and annual small grains reports, with prices being influenced by growing worries over a global recession.

FUNDAMENTALS

* The most-active wheat contract on the Chicago Board of Trade (CBOT) rose 0.3% to $8.99 a bushel, as of 0051 GMT. Corn added 0.2% to $6.71 a bushel and soybeans firmed 0.2% to $14.13-1/4 a bushel.

* Wheat has risen more than 8% in September, up for a second month in a row.

* The wheat market was set to end the third quarter with marginal gains, while corn was up 6.5% and soybeans were poised to finish the three-month period ending September in negative territory.

* Russia is poised to annex a swath of Ukraine after what Kyiv and the West denounced as illegal sham referendums in occupied territory, while the European Union investigated a leak from Russian gas pipelines it believes was due to sabotage, fuelling doubts about whether a U.N.-supervised shipping corridor for Ukrainian grain will last.

* Ideal harvest weather this week in much of the U.S. Midwest is expected to show strong harvest progress when the USDA updates its crop progress report on Monday.

* Soybeans were supported by stronger-than-expected weekly export sales of 973,000 tonnes during the week ended Sept. 22, besting analyst predictions of 250,000 to 850,000 tonnes.

* Corn sales of 672,100 tonnes and wheat sales of 250,100 tonnes were in line with trade forecasts.

* Argentina's corn planting is well behind the pace of last year due to a prolonged drought, the Buenos Aires grains exchange said on Thursday, noting that 5.8% of the area expected for the cereal had been sown, 11 percentage points behind a year before.

* Brazil, the world's biggest soybeans supplier, has overtaken the United States as the most competitive shipper of the oilseed to top importer China, the head of rail company Rumo said on Thursday.

* Rumo Chief Executive Joao de Abreu noted Brazil's cost per tonne in dollars to ship soy to China was lower than that of the United States in the first half of this year.

MARKET NEWS

* Investors added another cycle of selling on Thursday as the dollar barely eased its stranglehold on currency markets, recession fears sapped stocks and bonds suffered more interest rate pain.

DATA/EVENTS 0130 China NBS Manufacturing PMI Sept 0130 China Caixin Mfg PMI Final Sept 0600 UK Business Invest QQ, YY Q2 0645 France CPI (EU Norm) Prelim YY Sept 0645 France Producer Prices YY Aug 0755 Germany Unemployment Chg, Rate SA Sept 0900 EU HICP Flash YY Sept 0900 EU HICP-X F, E, A&T Flash YY Sept 0900 EU HICP-X F, E, A, T Flash MM Sept 0900 EU Unemployment Rate Aug 1230 US Consumption, Adjusted MM Aug 1400 US U Mich Sentiment Final Sept (Reporting by Naveen Thukral; Editing by Subhranshu Sahu)

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