SINGAPORE, Dec 10 (Reuters) – Chicago wheat futures lost more ground on Friday, poised for a second weekly decline, after the U.S. Department of Agriculture (USDA) forecast larger-than-expected global production, fuelling the prospect of improved supply worldwide.
Corn edged lower, while soybeans were trading flat.
FUNDAMENTALS
* The most-active wheat contract on the Chicago Board of Trade Wv1 has lost 3.9% so far this week. The market was down 0.4% at $7.73-1/2 a bushel, as of 0129 GMT.
* Corn Cv1 gained nearly 1% this week, while soybeans Sv1 have lost 0.3% this week.
* The USDA raised its global wheat ending stocks view by a greater-than-anticipated 2.38 million tonnes on a stronger production outlook for Australia, Canada and Russia.
* This could ease concerns over global food inflation as prices hover at a 10-year high. The U.N. food agency highlighted wheat in its latest price index due to heavy rains in Australia and potential changes to export measures in Russia.
* The USDA also increased global corn ending stocks amid larger crops in Ukraine and the European Union and a smaller crop in China, and trimmed world soybean supplies.
* Commodity funds were net buyers of CBOT corn and soymeal futures contracts on Thursday and net sellers of wheat, soybeans and soyoil, according to an average of estimates from traders.
* Trade estimates for fund activity on soybeans ranged from net sales of 5,000 contracts to net purchases of 2,000 contracts. For corn, funds were estimated to be net even on the day to net buyers of 5,000 contracts, traders said. COMFUND/CBT
DATA/EVENTS (GMT)
0700 UK GDP Est 3M/3M Oct
0700 UK GDP Estimate MM, YY Oct
0700 UK Manufacturing Output MM Oct
0700 Germany HICP Final YY Nov
1330 US CPI MM, SA Nov
1500 US U Mich Sentiment Prelim Dec
(Reporting by Naveen Thukral; Editing by Sherry Jacob-Phillips)
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