Grain futures mixed, soybeans decline on favorable weather

Grain futures were mixed on Friday with wheat and corn advancing, while soybeans retreated as forecasters predicted favorable weather for harvest in the weekend.

On the Chicago Board of Trade, soybeans futures for settlement in November fell by 0.38% to $12.8425 per bushel at 10:27 GMT. Prices held in range between days high and low of $12.8663 and $12.8125 a bushel respectively. The oilseed rose by 0.9% on Thursday, the best daily performance since September 12, but extended its weekly decline to 2.8% after Fridays retreat.

Soybeans surged yesterday on speculations that heavy rains will disrupt harvesting of the U.S. crop. DTN called on Thursday for a powerful storm system in the northern Midwest at the end of the week, potentially bringing rain, thunderstorms and strong winds. Concerns however eased as parts of the central and southern plains will be dry between Sunday and Tuesday, which would ease the harvest. Rains in the U.S. should average near to or below the average through the next 10 days, DTN said.

Meanwhile, wheat for delivery in December rose by 0.42% to $6.9188 per bushel at 10:27 GMT. Prices held in range between days low of $6.8738 and high at $6.9263 per bushel, near yesterdays 3 1/2-month high. The grain rose by 0.4% on Thursday, an eight daily gain in nine, extending its weekly advance to 1.6% after adding 6.7% in the preceding two five-day periods.

Wheat was well supported on speculations that heavy rains in the Black Sea Region will curb harvests, boosting demand for the U.S. crop. Ukraines national weather center in Kiev said on September 27 that the nations winter-wheat planting may be 30% lower than expected following record rainfall. At the same time in Russia, the area sown to wheat may be as low as 13 million hectares, down from the projected 16.4 million.

In the U.S., DTN reported yesterday that recent showers in the Southern Plains have improved soil moisture for planting and early development of winter wheat.

Elsewhere on the market, corn futures for delivery in December rose by 0.27% to $4.4038 per bushel at 10:21 GMT. Prices held in range between days high and low of $4.4038 and $4.3888 per bushel respectively. The grain was unchanged on Thursday after falling for four straight days and trimmed its weekly decline to 2.9% following Fridays gain.