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Soft red winter (SRW) wheat futures at the Chicago Board of Trade turned lower early on Wednesday on another reminder of increasing global production of wheat, traders said.
At 10:07 am CDT (1507 GMT), CBOT wheat was down 1-1/4 to 2 cents per bushel, with September down 1-1/2 at $3.15-1/2.
Calyon Futures sold 500 September and Cargill Investor Services bought 200 September, pit sources said.
Ukraine's Agriculture Ministry said on Wednesday it increased its forecast for this year's wheat crop to between 15 and 16 million tonnes from the previous outlook for 14 to 15 million. Ukraine harvested only 3.6 million tonnes last year and 20.5 million in 2002.
The September contract was near neutral technical territory with the nine-day relative strength index moving up to close Tuesday at 39.
Chartists view an RSI of 30 or less as an oversold market and 70 or more as an overbought market.
Technical support in the September contract was at $3.09 per bushel and resistance was at $3.22.

Copyright Reuters, 2004

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