US wheat futures fell around 1 percent on Monday on technical selling and as a stronger dollar created a headwind for US exports of the grain, which are already struggling to compete in the global marketplace. Corn futures eased on Monday after two straight sessions of gains while soyabeans edged higher amid concerns about harvest delays and the potential for crop damage in the western Midwest.
Traders were also squaring positions ahead of Thursday's monthly US Department of Agriculture (USDA) crop supply and demand report that is expected to show larger US corn and soyabean crops and bigger supplies of corn, soya and wheat.
The US dollar firmed against a basket of major currencies, making commodities priced in dollars costlier for buyers holding other currencies.
Chicago Board of Trade December wheat futures fell 6-1/2 cents to $5.14-1/2 a bushel by 11:31 a.m. CDT (1631 GMT), touching a one-week low. The contract failed to breach chart resistance at its 200-day moving average. December corn shed 2 cents to $3.66-1/4 a bushel and hovered near its 50-day moving average for a fifth straight session. November soyabeans were 1/4 cent higher at $8.69-1/4 a bushel after earlier touching a 6-1/2-week high.
Wet weather across key corn and soyabean states - including Iowa, Nebraska and Minnesota - stalled the harvesting of both crops, but the rains have boosted soil moisture for hard red winter wheat planting in the central and southern US Plains. The wet pattern is expected to persist through this week.
Due to the Columbus Day federal holiday, the USDA's weekly harvest progress and crop condition report normally released on Monday afternoon was delayed by a day.
Recent rains in parts of eastern Australia and Argentina - both key Southern Hemisphere grain exporters - added pressure to wheat, along with stiff export competition from Russia, the world's biggest shipper. Russia's Agriculture Ministry said Monday that it would start selling 1.5 million tonnes of stockpiled grain within two or three weeks.