PARIS/SINGAPORE: Chicago wheat futures extended losses on Monday to a 10-day low as forecasts of rain relief for parched US winter wheat belts eased crop concerns and kept attention on ample global supply.
Corn edged lower while soybeans inched up as investors awaited further clues about US spring planting trends.
The most-active wheat contract on the Chicago Board Of Trade lost 0.9 percent to $4.68-1/2 a bushel by 1109 GMT. Earlier in the session, it dropped to $4.65-1/4, its weakest since April 6.
Kansas wheat futures, which represent the hard red winter wheat crop that has suffered most from adverse weather, led the overnight fall, sliding 1.8 percent to $5.05-1/2 a bushel.
"Better weather on the way for a heavily damaged US winter wheat crop now transitioning from boot to heading stage," Thomson Reuters Agriculture Research analysts said.
"US spring wheat planting conditions to improve toward week's end as winter starts to slowly loosen its grip."
Winter wheat has endured drought followed by late frost, and the cold start to spring has also raised question marks about whether farmers will plant extra spring wheat as projected by the US government.
Investors will get a further indication about crop conditions and planting progress in weekly US Department of Agriculture (USDA) crop progress data later on Monday.
Warm weather forecast this week in western Europe should also help wheat fields dry out after a damp winter and chilly start to spring.
Lack of demand for US wheat is adding pressure on prices, with top exporter Russia continuing to shift a record 2017 crop.
The US Department of Agriculture (USDA) on Thursday reported export sales for old and new crop US wheat in the latest week at 188,700 tonnes, below trade expectations.
"The US export wheat business is still gloomy," consultancy Agritel said. "Russia is maintaining a strong momentum in its shipment."
Higher local prices following a drop in the rouble were encouraging producers to release more grain, it added.
CBOT corn gave up 0.5 percent to $3.84-1/2 a bushel, having closed down 0.6 percent in the previous session. Soybeans ticked up 0.1 percent to $10.55-1/4 a bushel, after ending 0.6 percent lower on Friday.
Drought-hit soybean production in Argentina is expected to keep a floor under the oilseed market, but strong yield prospects in Paraguay and Brazil were limiting price support.
Paraguay will produce just over 10 million tonnes of soybeans in 2017/18, slightly less than a year earlier, the national export chamber CAPECO said on Thursday.
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