CBOT corn sags as tariff fears, improving weather spur long liquidation

CHICAGO, Feb 25 (Reuters) - Chicago Board of Trade corn futures fell to a three-week low on Tuesday, sliding for a third successive session on tariff tensions and improving weather outlooks for South American crop regions, a trader said.

• CBOT May corn CK25 settled down 2-3/4 cents at $4.94-1/4 a bushel after dipping to $4.88-1/2, the contract's lowest since February 3.

• Commodity funds held a massive net long, or bought, position in CBOT corn futures, according to the U.S. Commodity Futures Trading Commission's last weekly commitments report, leaving the market prone to bouts of long liquidation.

• In South America, heavy rains in Argentina were bringing relief to corn and soy crops that have struggled with hot and dry weather. Showers were likely to continue over the next few days, marking a turning point for drought-hit crops, the Rosario grains exchange said on Monday.

• Additional pressure stemmed from fears that U.S. tariffs would trigger reprisals against U.S. agricultural exports. President Donald Trump said proposed levies on imports from Mexico and Canada were on track to be implemented.

• Traders await preliminary U.S. 2025 supply and demand forecasts due on Thursday from the U.S. Department of Agriculture's annual outlook conference.