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Corn drops on US harvest pressure, wheat near 3-1/2-month low

By Reuters News

SINGAPORE, Oct 27 (Reuters) - Chicago corn lost more ground on Tuesday as a rapidly advancing US harvest pressured prices, while wheat eased, trading near last session's weakest since early July on hopes of Black Sea exports.

Soybeans edged higher after last session's deep losses, although ample supplies from US harvest kept a lid on prices.

FUNDAMENTALS

* The most-active corn contract on the Chicago Board of Trade (CBOT) fell 0.3% to $4.53-3/4 a bushel, as of 0018 GMT and wheat gave up 0.3% to $6.14-1/4 a bushel.

* Soybeans added 0.2% to $12.44-1/4 a bushel.

* Wheat dropped to its lowest since July 10 on Monday on reports that Russia was reviewing proposals to ensure the safe transport of grain across the Black Sea.

* Interfax news agency reported on Monday that Russia was reviewing various proposals to ensure the safe transport of grain across the Black Sea and was in contact with Turkey on the issue, citing Russian Deputy Foreign Minister Alexander Alimov.

* Corn faced pressure from the advancing US harvest, which could further bolster large stocks and increase world export supplies.

* The US soybean harvest was 79% complete as of Sunday, in line with trade expectations, and the corn harvest was 60% finished, the US Department of Agriculture said in a weekly progress report on Monday, ahead of the average estimate in a Reuters poll of 10 analysts.

* Soybean prices came under additional pressure from weakening currency in Brazil, the world's top exporter of the oilseed.

* The Brazilian real weakened around 12% against the US dollar in spot trading as trading in Brazil got underway on Monday, and the country's stock exchange halted trading via a circuit breaker safety mechanism, in the wake of President Luiz Inacio Lula da Silva's re-election, undoing bullish investor sentiment after his right-wing rival led the first round of voting earlier in the month.

* A cheaper local currency can make Brazilian exports less expensive for global buyers, giving them a competitive edge over US supplies.

MARKET NEWS

* Global shares advanced on Monday, with investors focused on central bank meetings and a week of corporate earnings that will test confidence in the AI boom. MKTS/GLOB

DATA/EVENTS (GMT)

1230 US Durable Goods Sep

1400 US Consumer Confidence Oct

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