(Reuters) – U.S. corn futures fell for a second day on Thursday as traders banked profits after prices hit their highest in nearly six months earlier in the week, though losses were curbed by concerns the crisis in Ukraine could dent supply.
Wheat dropped for the second straight session, but the political tension around the Black Sea and dryness across the U.S. Plains softened losses. Soybean prices extended losses into a second session.
Chicago Board of Trade May corn had eased 0.21 percent to $4.81 a bushel by 0227 GMT, after closing down 0.5 percent.
May corn hit a high of $4.88 a bushel on Wednesday, the highest since Sept. 17.
May wheat futures fell 0.39 percent to $6.40 a bushel, having closed down 0.2 percent in the previous session.
“Even though there has not been any escalation of the tensions in the Ukraine, the market is concerned and that is limiting the price correction we have seen today,” said Vanessa Tan, investment analyst at Phillip Futures.
Political instability and violence has caused some traders in Ukraine, the world’s third-biggest maize exporter, to hold back from agreeing new contracts, while Russian maize export prices have been rising for two weeks. The U.S. Grains Council said grain shipments from Ukraine are “becoming increasingly difficult”, although ports are open and vessels are loading.
The U.S. Department of Agriculture last month projected Ukraine would export 18.5 million tons of corn in the 2013/14 marketing year, which ends on Aug. 31, and 9.5 million tonnes of wheat.
May soybeans fell 0.18 percent to $14.18 a bushel, having slid 0.2 percent on Wednesday.
Analysts said soybean prices are continuing to come under pressure from USDA confirmation that 245,000 tonnes of U.S. soybeans sold earlier to China for delivery in the 2013/14 marketing year had been cancelled.
