Corn falls to 8-month low on ample global supplies

SYDNEY: US corn eased on Tuesday to hit an eight-month low as fears of US production losses eased, despite the US Department of Agriculture (USDA) pegging the condition of the crop below forecasts.

Wheat fell, extending two-day losses to nearly 2 percent, while soybeans edged lower.

The most active corn futures on the Chicago Board Of Trade were down 0.3 percent to $3.50 a bushel by 0410 GMT, the lowest since Dec. 30, 2016. Corn closed down 0.7 percent in the previous session.

"A month or so ago, some people were convinced current production was going to fall below USDA estimates but those fears have subsided," said Angus Thornton, a commodity analyst at advisory service Profarmer.

Corn shrugged off the USDA's latest condition report, which came in below forecasts.

The USDA said 62 percent of the crop was in good-to-excellent condition, unchanged from last week. Analysts had expected a slight increase.

The most active soybean futures were down 0.2 percent to $9.39-1/2 a bushel, having closed down 0.3 percent on Monday.

Profarmer last week predicted bumper US soy and corn harvests that will begin hitting markets in the next several weeks.

The USDA said 61 percent of the soybean crop was in good-to-excellent condition, up 1 percent on last week. Analysts surveyed by Reuters had expected soy ratings to stay steady.

The most active wheat futures were down 0.2 percent $4.27-1/4 a bushel, having closed down 1.7 percent on Monday.

Analysts said global wheat remain under pressure amid ample global supplies, with Russian production due to hit the market soon.