* Poor harvest reports support wheat
* Soybeans firm on bargain buying, exports
* Corn following wheat higher after hitting four-month low (Updates with U.S. prices, adds new analyst comment, dateline, byline)
By Mark Weinraub
CHICAGO, June 18 (Reuters) – U.S. soybean futures rose on Wednesday, rebounding from their lowest in nearly three months on a round of mild bargain buying, traders said.
Wheat futures rose on support from short-covering as well as disappointing harvest yields in key hard red winter wheat-growing areas of the U.S. Plains. Corn followed wheat higher, with short-covering also noted after the front-month contract dropped to a four-month low on Tuesday.
“The wheat has probably been the strongest thing out here,” said Mark Gold, managing partner at Top Third Ag Marketing. “Weather is a little bit tough for harvest, slowing things down and there are some quality issues. The funds are short wheat so we have seen a little bit of short-covering.”
At 11:27 a.m. CST (1627 GMT), Chicago Board of Trade soft red winter wheat futures for July delivery were 9 cents higher at $5.90-3/4 a bushel. K.C. July hard red winter wheat was up 16-1/2 cents at $7.29 a bushel.
CBOT July soybeans added 5-1/4 cents at $14.03-1/2 a bushel while CBOT July corn rose 3-3/4 cents at $4.42-1/2 a bushel.
Soybeans gapped sharply higher early in the session due to a U.S. Agriculture Department announcement that exporters had sold 140,000 tonnes of soybeans for delivery in the 2013/14 crop year, further depleting tight domestic supplies.
But prices for the benchmark July contract failed to hold technical support above its 100-day moving average, pushing the market from its highs.
“Soybeans have been sold off pretty heavily over the past month and there comes a time when the market starts to question whether the good news about large new crop supplies has now been priced in,” said Ole Hansen, head of commodity strategy at Saxo Bank.
Expectations of large U.S. harvests of both corn and soybeans have weighed on prices this week after the USDA’s crop conditions report on Monday showed both crops were thriving across the U.S. Midwest during their early development stages. RIC
Change Change 1Cc1
1398.25 1SMc1 SOY MEAL JUL4
450.7 1BOc1 SOYBEAN OIL JUL4
WHEAT SRW JUL4
581.75 1RRc1 ROUGH RICE JUL4
14.65 BL2c1 M.WHEAT EUR NOV4
LIGHT CRUDE JUL4
106.24 -0.11 -0.12
DJ INDU AVERAGE 16773.62 -0.21 -34.87 16808.49 XAU=
1271.19 .BADI BALTIC EXCH DRY
US DOLLAR INDEX
80.629 In U.S. cents, benchmark contracts, except EU wheat (euros) and soymeal (dollars). CBOT wheat, corn and soybeans per bushel, rice per hundredweight, soymeal per ton and soyoil per lb. (Additional reporting by Michael Hogan in Hamburg and Naveen Thukral in Singapore; Editing by Jeffrey Benkoe)