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GRAINS-Soybeans firm on bargain buying, exports; wheat, corn weak
September 29, 2016 / 3:36 PM / a year ago

GRAINS-Soybeans firm on bargain buying, exports; wheat, corn weak

(Recasts, updates with U.S. trading, adds new analyst quote, changes byline, dateline, pvs PARIS/SINGAPORE)

By Mark Weinraub

CHICAGO, Sept 29 (Reuters) - U.S. soybean futures firmed on Thursday on a mild round of bargain buying and short-covering ahead of a key government report on Friday, traders said.

Signs of strong export demand for the oilseed also lent support to soybean futures but gains were kept in check by reports of good yields from fields in the western part of the U.S. Midwest as harvest ramped up.

Wheat futures fell on a technical setback amid ample global supplies. Corn futures were down slightly, under pressure from the wheat market and a weak export report.

Trading was choppy as investors squared positions ahead of the U.S. Agriculture Department’s closely watched quarterly U.S. grain stocks data on Friday.

“Nobody wants to really make a commitment one way or the other,” said Bill Gentry, a broker at Risk Management Commodities in Lafayette, Indiana.

At 10:15 a.m. CDT (1515 GMT) Chicago Board of Trade November soybean futures were up 3-1/4 cents at $9.48-3/4 a bushel.

USDA on Thursday morning reported export sales of U.S. soybeans in the latest week at 1,692,900 tonnes, topping a range of trade expectations for 1.1 million to 1.3 million.

Additionally, top buyer China has booked U.S. soybean shipments this week, underpinning the market.

“Soybeans are edging higher .... but it’s hard to get any big rally in prices because of plentiful supplies,” said Phin Ziebell, agribusiness economist at National Australia Bank.

CBOT December corn futures were off 1/4 cent at $3.29 a bushel.

USDA said export sales of corn totalled just 575,000 tonnes, below a range of trade expectations for 750,000 to 950,000 tonnes.

CBOT December soft red winter wheat futures were down 5 cents at $3.98-1/4 a bushel. The contract firmed during overnight trading but hit resistance as it neared its 30-day moving average, a level it has not traded above since August 22.

Rains could continue slowing harvesting of corn and soybeans in the eastern Midwest up to the weekend, but the west of the crop belt looks dry until at least Tuesday, the Commodity Weather Group said in a daily note. (Additional reporting by Naveen Thukral in Singapore and Gus Trompiz in Paris; Editing by David Evans and Alan Crosby)

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