GRAINS-Chicago soybeans set for weekly gains, supply concerns in focus


By Matthew Chye

SINGAPORE, June 9 (Reuters) - Chicago soybean futures were tepid on Friday and poised to post weekly gains amid supply concerns, following a drop in total production in top exporter Argentina.

Wheat and corn both edged lower and corn was headed for weekly losses, while wheat was set for weekly gains.

The most-active soybean contract on the Chicago Board of Trade (CBOT) Sv1 was down 0.1% at $13.62-3/4 a bushel, as of 0357 GMT.

Wheat Wv1 lost 0.8% to $6.21-1/2 a bushel, while corn Cv1 gave up 0.8% to $6.05-1/4 a bushel.

For the week, soybeans are up 0.7%, corn dropped about 0.6% while wheat gained 0.4%.

The U.S. Department of Agriculture's (USDA) May soybean report was bearish across-the-board highlighting burdensome supply for the new crop, according to a note from commodities research firm Hightower.

"We see the potential for various USDA figures and anticipation of improved conditions from rainfall pressuring prices today, only to see those price declines reversed aggressively when the next set of crop conditions readings are released, the note added.

Argentina's current soybean harvest is with total production expected to reach just 21 million metric tons, a major grains exchange said on Thursday, far below yields from previous years for the country's main cash crop.

The Kremlin said on Thursday that there would be a "negative impact" on the fate of a Black Sea grain deal from a blast which damaged a pipeline used to export Russian ammonia via Ukraine that Moscow wants restarted.

Traders await the U.S. Agriculture Department's World Agricultural Supply and Demand Estimates report due later on Friday.

South Korea's Feed Leaders Committee (FLC) purchased around 65,000 metric tons of animal feed corn in a private deal.

South Korea's Major Feedmill Group (MFG) purchased an estimated 132,000 metric tons of animal feed corn expected to be sourced from South America in a private deal.

Leading South Korean animal feed maker Nonghyup Feed Inc. (NOFI) has bought an estimated 66,000 metric tons of animal feed corn in an international tender for up to 138,000 metric tons.

Commodity funds were net buyers of Chicago Board of Trade soybean, corn, wheat and soyoil futures contracts on Thursday, and net sellers of CBOT soymeal futures, traders said. COMFUND/CBT

(Reporting by Matthew Chye; Editing by Rashmi Aich)

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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