U.S. wheat futures retreat after rally, corn also weak


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CHICAGO — U.S. wheat futures fell on Thursday, settling back from a sharp rally a day earlier as investors weighed Russian criticism of a Ukrainian grain export deal against prospects of a slowing global economy, traders said.

Corn futures also were weaker despite growing concerns about a disappointing U.S. harvest after dry weather in key growing areas sapped crops of their yield potential.

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Soybeans eased to their lowest since Aug. 4, but bargain buying pared losses and the market finished higher on the day.

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“I think today is a technical pullback,” said Bill Biedermann, a partner at AgMarket.Net. “We are losing speculative interest in all commodities.”

Chicago Board of Trade soft red winter wheat for December delivery ended down 15-1/4 cents at $8.29 a bushel.

Wheat markets jumped on Wednesday after President Vladimir Putin said Russia and the developing world had been “cheated” by a U.N.-brokered Ukrainian grain export deal, vowing to look to revise its terms to limit the countries that can receive shipments.

The White House said Thursday there was no indication the deal was unraveling.

Wheat futures had been curbed in recent weeks by an increasing flow of Ukrainian shipments through the Black Sea corridor, along with falling prices for Ukrainian and Russian supplies.

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Recession fears, as central banks raise interest rates to tackle inflation, remained a brake on grain prices by threatening to curb demand.

“Grain markets got a boost from Putin’s Ukraine export corridor threats yesterday, but most other agriculture markets are pinned lower by the bearish macro mood,” Peak Trading Research said in a note.

CBOT December corn was down 2-1/2 cents at $6.68-1/2 a bushel while CBOT November soybeans added 2-1/2 cents to end at $13.86 a bushel. Soybeans had fallen in six of the previous seven sessions. (Additional reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Editing by Rashmi Aich, Mark Potter and Grant McCool)


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