Soybeans drop to 2-month low on US harvest pressure, weaker oil

SINGAPORE, Oct 26 (Reuters) - Soybeans slid 1% to a two-month on Monday, with the market being weighed down by supplies from record US harvest entering the market and lower crude oil prices.

Corn and wheat prices also fell, though losses in wheat were limited by continued disrupting to Black Sea supplies.

FUNDAMENTALS

* The most-active soybean contract on the Chicago Board of Trade (CBOT) was down 1% at $12.44 a bushel, as of 0109 GMT, having hit its weakest level since August 26 earlier in the session.

* Corn gave up 0.8% to $4.52-1/4 a bushel and wheat edged 0.1% lower to 6.24-1/2 a bushel.

* The soybean market is being weighed down by rapidly advancing harvest of an all-time high US crop entering the market.

* Oil prices fell after surging to near six-month highs late last week, although ongoing attacks on Saudi Arabia kept supply concerns in focus.

* Last week, soybean prices were underpinned by strong export demand and higher crude oil prices. Crude oil often provides direction to agricultural markets for growing use of grains and oilseeds in making biofuels.

* The US Department of Agriculture on Thursday reported net export sales of US soybeans in the week ended October 15 at 2.8 million metric tons, near the top end of market estimates, as a run of Chinese purchases boosted volumes.

* Corn prices have been pressured by the advancing US harvest, which could further bolster large stocks.

* The wheat market registered liquidation by investment funds last week as a round of US-led diplomacy aimed at ending Russia's war with Ukraine raised hopes of a revival of Black Sea grain trade.

* But attacks have continued since the talks, including a drone strike that sank a cargo ship off the Romanian Black Sea coast.

MARKET NEWS

* Share markets got off to a cautious start on Monday as oil eased from six-month highs ahead of a week packed with central bank meetings and company earnings that will further test investor confidence in the AI boom. MKTS/GLOB

DATA/EVENTS (GMT)

0900 Germany Ifo Business Climate New October

0900 Germany Ifo Curr Conditions New October

0900 Germany Ifo Expectations New October