GRAINS-Mild U.S. weather knocks corn to lowest level since 2010
* Rain, mild weather fuel expectations of big harvests
* China plans to sell soybeans from reserves
(Adds U.S. trading, changes dateline, pvs PARIS/SINGAPORE) CHICAGO, Aug 5 (Reuters) - U.S. corn futures on Monday fell to their lowest level since late 2010 with favourable crop weather encouraging forecasts for a bumper harvest and kept buyers on the sidelines. Importers and domestic grain buyers are delaying large purchases before the autumn harvest because they expect prices will drop further, traders and analysts said. Soybean futures also slid as cool, wet weather boosted harvest projections. "All buyers are just 'hands in their pockets' knowing we have a harvest in front of us," said Don Roose, president of U.S. Commodities brokerage. Corn futures have dropped 44.7 percent since the nearby contract reached a record high of $8.43-3/4 a bushel a year ago when the worst drought in the United States in more than 50 years devastated harvests. Farmers this year are expected to rebuild low grain supplies in better weather and following large plantings. Front-month September corn lost 9 cents to $4.67 a bushel by 9:55 a.m. CDT (1455 GMT) at the Chicago Board of Trade. December corn, which represents the next harvest, fell 6-3/4 cents to $4.57 a bushel. Weather conditions look favourable through early August, with much of the Midwest expected to receive rain through the middle of the month, according to Global Weather Monitoring.
Private crop forecaster Informa Economics is set to issue harvest estimates at 10:30 a.m. CDT (1530 GMT) and could top government estimates because of the beneficial weather, traders said. Two other forecasters, FCStone and Lanworth, last week put the 2013 U.S. corn crop above the current outlook of the U.S. Department of Agriculture.
A weekly USDA crop progress report due later on Monday will give traders a fresh indication about the development of corn and soybeans. Soybeans felt additional pressure from China's plans to sell 500,000 tonnes of soybeans from its reserves this week, traders said. The sales could blunt demand by China, the world's top soybean buyer, although some Chinese prices were likely to be more expensive than imported soy. September soybeans dropped 12 cents to $12.00-3/4 a bushel, while new-crop November soybeans shed 3-3/4 cents to $11.77-3/4 a bushel. CBOT wheat fell on technical selling, traders said. Front-month September wheat tumbled 14-1/4 cents to $6.46-1/4 a bushel.
Prices at 9:51 a.m. CDT (1451 GMT)
LAST NET PCT YTD CHG CHG CHG CBOT corn 468.50 -7.50 -1.6% -32.9% CBOT soy 1326.75 -4.25 -0.3% -6.5% CBOT meal 406.20 -5.90 -1.4% -3.4% CBOT soyoil 42.48 0.10 0.2% -13.6% CBOT wheat 646.25 -14.25 -2.2% -16.9% CBOT rice 1588.00 8.00 0.5% 6.9% EU wheat 184.25 -2.25 -1.2% -26.4% US crude 106.66 -0.28 -0.3% 16.2% Dow Jones 15,628 -30 -0.2% 19.3% Gold 1305.14 -6.36 -0.5% -22.1% Euro/dollar 1.3245 -0.0036 -0.3% 0.4% Dollar Index 82.0060 0.0980 0.1% 2.8% Baltic Freight 1058 -7 -0.7% 51.4%
(Additional reporting by Gus Trompiz in Paris and Naveen Thukral in Singapore; Editing by James Jukwey and Grant McCool)