GRAINS-U.S. soybeans, wheat drop; corn firms on technical buying

* Soybeans post fourth straight weekly decline

* Corn hits highest since June 10

* Wheat falls on technical selling, harvest pressure (Adds closing prices)

By Mark Weinraub

CHICAGO, June 20 (Reuters) – U.S. soybean futures fell on Friday, capping their fourth straight losing week on profit taking and concerns about slowing demand from China, the world’s top buyer of the oilseed, traders said.

Wheat also fell, weighed down by technical selling and seasonal harvest pressure, while corn rose to a 10-day high.

Soybeans finished well off their daily lows, but unwinding of bull spreads kept old-crop contracts in negative territory. The four straight weeks of losses was the longest for the commodity since an equal streak that ended in early August of 2013.

“Beans are having trouble finishing the week on a positive note,” INTL FCStone said in a note to clients. “The whole complex is down as China appears to be slowing on demand for feeding animals.”

CBOT July soybeans settled 5 cents at $14.15-3/4 a bushel. Prices faced resistance at the 100-day moving average, closing below that key technical point despite a round of late buying.

New-crop soybean contracts closed firm on the unwinding of bull spreads as well as signs of overseas demand. The U.S. Agriculture Department on Friday morning said exporters sold 110,000 tonnes of U.S. soybeans to unknown destinations for delivery in the 2014/15 crop year.

CBOT July corn was up 2-3/4 cents at $4.53-1/4 a bushel, with traders citing $4.50 as a key support point. CBOT July soft red winter wheat was 8-1/4 cents lower at $5.85-1/4 a bushel.

For the week, front-month soybeans were down 0.7 percent, front-month corn was up 1.4 percent and front-month wheat was down 0.1 percent.

The weekly gains in corn snapped a five-week string of declines for the yellow grain. Wheat has fallen for six straight weeks, shedding 18 percent during that time.

Concerns about recent rains in the U.S. Midwest and Plains hurting the quality of the mature wheat crop limited declines in wheat despite expectations of ample supplies following harvest.

“Precipitation is hurting the quality outlook for the already reduced supply of hard red winter wheat in the U.S. – the U.S. is already priced out of the international market so this doesn’t necessarily warrant higher prices,” Macquarie analyst Chris Gadd said.

“Our outlook remains bearish, the reality is the world looks well supplied.”

The gains in corn were kept in check by expectations of good crop weather during the next few weeks. No signs of damaging heat were in the forecast for the U.S. Midwest. The crop will start its key pollination phase of development in many areas in the next few weeks and high heat during that period can rob corn of its yield potential.

RIC

Name

Last

Pct

Net

Pvs Close

Change Change 1Cc1 CORN JUL4

453

0.61

2.75

450.5 1Sc1 SOYBEANS JUL4

1418.75 -0.35

-5

1420.75 1SMc1 SOY MEAL JUL4

465.4

1.77

8

451.2 1BOc1 SOYBEAN OIL JUL4

40.04 -1.18

-0.48

40.61 1Wc1 WHEAT SRW JUL4

585 -1.39

-8.25

593.5 1RRc1 ROUGH RICE JUL4

14.61 -0.37 -0.055

14.69 BL2c1 M.WHEAT EUR NOV4

188 -0.13

-0.25

188.25 CLc1 LIGHT CRUDE JUL4

107.3

0.78

0.83

106.43 .DJI DJ INDU AVERAGE 16950.9

0.17

29.47 16921.46

3

XAU= GOLD

1313.85 #N/A

-5.85

1319.7 .BADI BALTIC EXCH DRY

904

0.22

2

902 .DXY US DOLLAR INDEX

80.368

0.06

0.051

80.317 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 Sarah McFarlane in London and Naveen Thukral in Singapore; Editing by David Gregorio and Grant McCool)

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