Content ID

334924

GRAINS-Wheat steadies after four-week low, corn and soy stay weak

* Wheat halts slide as Black Sea grain corridor talks eyed * Harvest, Mississippi logistics and firm dollar curb corn, soy * Economic worries also hang over grain markets (Updates with European trading, changes byline/dateline) By Gus Trompiz and Naveen Thukral PARIS/SINGAPORE, Oct 19 (Reuters) - Chicago wheat steadied on Wednesday after hitting a four-week low a day earlier, as traders awaited developments in talks to extend an export corridor deal for Ukrainian grain. Corn and soybeans edged lower to hold around their lowest in nearly two weeks, as Midwest harvest progress created supply pressure while transport problems on the Mississippi river impeded U.S. export flows. A firm dollar and continuing investor concerns about a global economic downturn also anchored grain markets. The most-active wheat contract on the Chicago Board of Trade (CBOT) was up 0.6% at $8.54-3/4 a bushel by 1131 GMT, moving away from Tuesday's low of $8.32-3/4. A positive assessment by the United Nations of talks with Russian officials about prolonging the corridor agreement - which has allowed exports from Ukraine to pick up despite the war with Russia - weighed on wheat markets earlier this week. But traders remain cautious about negotiations as the war continues. "Pricing now means that the market is more sensitive to news that the corridor will not be extended," said Tobin Gorey, director of agricultural strategy at the Commonwealth Bank of Australia. The market showed little reaction to news that Russia's agriculture ministry has proposed setting a grain export quota of 25.5 million tonnes for mid-February to end-June. The volume was in line with a proposal from an exporters' group, which considered the level as not restrictive given an expected record harvest. Wheat traders are also monitoring as risks to global supply drought in Argentine and U.S. wheat belts, torrential rain in parts of Australia ahead of harvesting, and a slow planting pace in Ukraine. CBOT corn was down 0.6% at $6.76-3/4 a bushel, near Tuesday's 11-day trough. Soybeans were off 0.8% at $13.60-1/2 a bushel, after touching a 12-day low earlier on Wednesday. Brazil's grain exporters association Anec on Tuesday raised its forecast for the country's soybean and corn exports during October. That underscored competition for U.S. supplies as low water on the Mississippi hampers transport to Gulf export terminals. Prices at 1131 GMT Last Change Pct End Ytd Pct Move 2021 Move CBOT wheat 854.75 5.25 0.62 770.75 10.90 CBOT corn 676.75 -4.25 -0.62 593.25 14.08 CBOT soy 1360.50 -11.50 -0.84 1339.25 1.59 Paris wheat 338.25 3.50 1.05 276.75 22.22 Paris maize 330.50 4.50 1.38 226.00 46.24 Paris rape 629.00 5.75 0.92 754.00 -16.58 WTI crude oil 83.86 1.04 1.26 75.21 11.50 Euro/dlr 0.98 -0.01 -0.85 1.1368 -14.07 Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne (Reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Editing by Rashmi Aich and Devika Syamnath)

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