×

GRAINS-Wheat steadies after fresh low on ample global supply

* Wheat rises after hitting lowest since early January

* Tuesday's USDA report gave new record for global stocks

* Soybeans edge up after 3-week low on S. America supply

* Corn steady, USDA hike to ethanol use lends support

(Updates with European trading, changes byline/dateline) PARIS/SINGAPORE, Dec 13 (Reuters) - Chicago wheat futures ticked up on Wednesday as the market found its footing after hitting an 11-month low a day earlier when a U.S. government report underlined mounting global supplies. Soybeans edged higher to recover from their lowest in more than three weeks, as the oilseed market weighed improving crop prospects in South America and a reduced outlook for U.S. exports. Corn also inched up after setting contract lows in the previous session, with the feed grain finding some support from the U.S. Department of Agriculture's (USDA) upward revision to U.S. corn use in ethanol. The most-active Chicago Board of Trade wheat contract was up 0.4 percent to $4.12-1/2 a bushel by 1245 GMT. On Tuesday, it had reached its lowest since Jan. 4 at $4.10-1/2 as it fell for a seventh consecutive session. In a monthly report on Tuesday, the USDA offered few surprises to grain markets as it confirmed large global inventories and adjusted its U.S. supply and demand outlook to factor in tough competition for U.S. exports and strong ethanol demand for corn. "This (USDA report) confirms the gloomy picture for all agricultural commodities reflected by current prices," consultancy Agritel said in a note. "Traders are now focused on the weather conditions of the next campaign." The USDA raised its forecast for world wheat stocks in 2017/18 to a new record, while also increasing the expected stockpile in the United States. U.S. market participants took heart from a rare sale of wheat to Algeria announced this week, but overseas competition remains stiff as illustrated by Egypt's latest purchase of Black Sea origins in a tender on Tuesday. Soybeans rose 0.3 percent to $9.78-3/4 a bushel, after hitting on Tuesday their lowest since Nov. 17 at $9.75. Corn added 0.1 percent to $3.48-1/4 a bushel. The USDA raised its outlook for 2017/18 U.S. soybean ending stocks after cutting its export forecast but traders said the market was more focused on improving indications for South American harvests in the coming months. Weather forecasts have called for rain in the coming days in dry areas of Argentina, the world's top soymeal exporter and the No.3 corn supplier. Brazilian government food supply agency Conab forecast the country's 2017/18 soybean crop at 109.2 million tonnes, topping its month-ago range of estimates for 106.4 million to 108.6 million tonnes. Commodity funds were net sellers of CBOT soybean, corn, soymeal and wheat futures contracts on Tuesday and net buyers of soyoil futures, traders said.

Prices at 1245 GMT

Last Change Pct End Ytd Pct Move 2016 Move CBOT wheat 412.50 1.75 0.43 408.00 1.10 CBOT corn 348.25 0.50 0.14 352.00 -1.07 CBOT soy 978.75 3.00 0.31 1004.00 -2.51 Paris wheat Mar 160.50 -0.50 -0.31 177.50 -9.58 Paris maize Jan 152.50 -0.50 -0.33 171.00 -10.82 Paris rape Feb 361.75 1.00 0.28 393.00 -7.95 WTI crude oil 57.58 0.44 0.77 53.72 7.19 Euro/dlr 1.17 0.00 -0.05

Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne

(Reporting by Naveen Thukral and Gus Trompiz; Editing by Joseph Radford and Gareth Jones)