BEIJING: Chicago wheat and corn futures fell on Tuesday as investors focussed on Ukraine-Russia peace talks starting later in the day, while worries over surging COVID-19 cases in China weighed on the market.
Soybeans edged higher after falling in the previous session, ahead of a widely watched U.S. planting intentions report due later this week.
The most-active corn contract on the Chicago Board of Trade (CBOT) fell 0.77% to $7.42-3/4 a bushel, while wheat dropped 0.31% to $10.48-1/4 a bushel. Soybeans inched up 0.06% to $16.65 a bushel.
Traders adjusted positions ahead of the U.S. Department of Agriculture's (USDA) U.S. planting intentions report due on Thursday.
Analysts surveyed by Reuters on average expect that U.S. farmers will plant less corn and more soybeans this year, before the release of the USDA report.
The most-active soybean meal futures in China, the world's largest soybean importer, slid more than 2% after Beijing said it would release another 500,000 tonnes of the commodity from state reserves.
Soymeal prices have soared in China on tight supplies after bad weather limited exports from South America, and surging COVID cases in the country disrupted logistics and supply chains.
Meanwhile, market participants were hopeful that the first face-to-face peace talks between Russia and Ukraine in more than two weeks could lead to a ceasefire, even as chances for a breakthrough were played down.
Though the wheat market has been underpinned by supply disruptions due to Russia's invasion of Ukraine, buyers have found alternative origins for the grain.
Commodity funds were net sellers of Chicago Board of Trade wheat, soybean, soyoil, corn and soymeal futures contracts on Monday, traders said.