Soybeans ease after soymeal rally, eyes on US-China summit next week

PARIS/BEIJING, Sept 18 (Reuters) - Chicago soybean futures dipped on Friday as a rally in soymeal subsided while weakness in crude oil and strength also curbed prices, analysts said.

Attention was turning towards next week's meeting between Presidents Donald Trump and Xi Jinping, in which Chinese purchases of soybeans and other US agricultural goods will be among trade issues in focus.

Corn and wheat also eased, with the cereals partly pressured by US corn harvest progress and lingering hopes of de-escalation in the Black Sea export zone.

The most-active soybean contract on the Chicago Board of Trade fell 0.8% at $13.09-1/4 a bushel by 1233 GMT. The contract touched a three-year high of $13.35-1/4 last Friday, supported by a recent run of US export sales to China.

"Fresh Chinese buying has slowed and attention is now turning towards the upcoming US-China summit," British merchant ADM Agriculture Ltd said in a note.

A seven-week high for the dollar index following a US interest rate increase this week was pressuring dollar-denominated commodities, it added. FRX/

US Treasury Secretary Scott Bessent has said he plans to meet his Chinese counterpart this weekend, which could provide a pointer on commitments to expand agricultural trade.

Chicago soymeal futures were down 2.1%, having hit a two-year high on Thursday amid concerns about tightening availability of the feed ingredient.

Weather forecasts projecting an easing in rainfall next week in parts of the US Midwest were tempering worries about delays to soybean and corn harvesting.

CBOT wheat was down 0.7% at $7.22 a bushel while CBOT corn was 0.4% lower at $5.28-1/2 a bushel.

Wheat traders said an AFP report, which cited a Turkish proposal sent to Russia and Ukraine for a truce on strikes against commercial shipping in the Black Sea, put attention back on de-escalation prospects.

Despite hopes generated by Turkish efforts to broker a halt to attacks by Russia and Ukraine on each other's shipping in the Black Sea, traders and analysts were sceptical about any immediate breakthrough.

BMI analysts said in a note they expect ongoing export disruptions across Russia and Ukraine to keep underpinning wheat and corn prices for the rest of the year.

"We see little prospect of a near-term normalisation in Black Sea export volumes, and any market expectation of an imminent settlement is likely misguided," BMI said.