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GRAINS-Wheat eases for second session as USDA forecasts higher output

* USDA raises f'cast for wheat output despite adverse weather Corn, soybeans eye U.S. weekly crop report for direction

(Adds details, quote) SINGAPORE, June 12 (Reuters) - Chicago wheat futures slid for a second session on Monday, giving up some of last week's gains as the U.S. government forecast higher production. Corn and soybeans lost ground on profit-taking although concerns about crop-damaging hot and dry weather in the Midwest United States continued to underpin both markets. U.S. wheat supplies will be bigger than expected despite a snowstorm in early May that analysts worried had severely damaged the crop in Kansas, the top producing state, the U.S. Department of Agriculture (USDA) said on Friday. The agency boosted its forecast for U.S. winter wheat production to 1.250 billion bushels from 1.246 billion, and raised its yield projection in Kansas by 2 bushels per acre (bpa) to 44.0 bpa. The Chicago Board of Trade most-active wheat contract fell 0.6 percent to $4.43 a bushel by 0328 GMT, corn gave up 0.5 percent to $3.86 a bushel and soybeans fell 0.2 percent to $9.39-3/4 a bushel. "U.S. wheat market is facing harvest pressure and the crop looks bigger despite weather issues," said Kaname Gokon of Tokyo brokerage Okato Shoji. "Corn and soybeans will take direction from the weekly crop report due later." The wheat market jumped almost 4 percent last week supported content in the U.S. winter wheat crop. Prospects for low protein in the U.S. harvest of hard red winter wheat have magnified the importance of spring wheat, a high-protein variety prized by millers for its quality. For corn and soybeans, U.S. Midwest weather will take center stage this week. Meteorologists predicted highs above 90 degrees Fahrenheit (32 Celsius) across much of the Midwest early this week. The USDA on Friday said U.S. soybean and corn ending stocks for the 2016/17 and 2017/18 crop years would be larger than analysts were expecting on average. Large speculators trimmed their net-short position in Chicago Board of Trade corn futures in the week to June 6, regulatory data released on Friday showed. The Commodity Futures Trading Commission's weekly commitment of traders report also showed that non-commercial traders, a category that includes hedge funds, trimmed their net-short position in CBOT wheat and increased their net-short position in soybeans.

Grains prices at 0328 GMT

Contract Last Change Pct chg Two-day chg MA 30 RSI CBOT wheat 443.00 -2.75 -0.62% -1.39% 435.71 59 CBOT corn 386.00 -1.75 -0.45% +0.06% 372.99 69 CBOT soy 939.75 -1.75 -0.19% +0.19% 949.72 57 CBOT rice 11.30 -$0.03 -0.22% +0.58% $10.69 72 WTI crude 46.06 $0.23 +0.50% +0.92% $48.09 33

Currencies

Euro/dlr $1.120 $0.001 +0.10% -0.08% USD/AUD 0.7523 0.000 -0.04% -0.25%

Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential

(Reporting by Naveen Thukral; Editing by Joseph Radford and Christian Schmollinger)