US grains fell for a second straight day on Friday as demand worries resurfaced after data showed the US economy was slowing even further. US GDP contracted at an annual rate of 0.3 percent for the third quarter, the sharpest fall in the world's largest economy in seven years, igniting a broad sell-down across the commodities complex on concerns over weakening fundamentals.
The US dollar's rebound also weighed. Chicago Board of Trade soybeans for November delivery fell 0.7 percent to $9.27-3/4 by 0753 GMT, December corn fell 1 percent to $4.05-1/4, and wheat for December delivery was down 0.3 percent at $5.36-1/2.
Michael Pitts, a commodities trader at National Australia Bank, said factors other than supply and demand fundamentals continued to drive the market, though interest was limited ahead of the weekend. "All up it has been fairly quiet. Spreads are fairly wide which would indicate not very much liquidity at this stage," said Pitts. "We also had a very good run the day before so there's not really any surprise in today's moves."
On Wednesday, wheat surged more than 9 percent while soybeans and corn gained around 7 percent as the dollar suffered its biggest one-day fall in 23 years after the Federal Reserve cut interest rates.
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