GRAINS-Soybeans up ahead of US-China talks, corn slips on good weather

By Heather Schlitz

CHICAGO, May 8 (Reuters) - Chicago soybean futures crept higher on Thursday as higher soyoil futures and hopes that upcoming U.S.-China trade talks in Switzerland could reduce trade tensions that have disrupted U.S. grain and oilseeds exports, analysts said.

Wheat and corn futures slipped as good planting weather and growing conditions in the U.S. pressured prices.

Chicago Board of Trade most-active soybeans Sv1 rose 2-3/4 cents to $10.42-1/2 a bushel as of 1550 GMT. CBOT wheat Wv1 fell 8-1/4 cents to $5.26 a bushel. Corn Cv1 fell 6-1/2 cents to $4.42-3/4 a bushel, its lowest point since March 28.

Market players have been hesitant to make big moves ahead of the trade talks this weekend, which could calm the trade war that has effectively halted U.S. soybean and grain exports to China.

"We've been straight sideways for a couple of weeks, so we're just waiting to see if there's any progress on trade talks," Randy Place, analyst at Hightower Report, said.

The United States and Britain are expected to announce a trade deal to lower import tariffs on Thursday, the first such agreement since U.S. President Donald Trump imposed tariffs on products from a series of countries, in turn sparking retaliation, damaging U.S. soybean and grain exports.

In corn, ideal U.S. weather and hopes for a thawing U.S.-China trade relationship have overridden bullishness from brisk export demand, analysts said.

Dry weather in the U.S. corn belt has allowed farmers to rapidly plant what is expected to be a large corn crop, and rainy forecasts for the coming weeks should allow for ideal growing conditions, analysts said.

Rains over the U.S. Plains are expected to boost wheat yields and have pressured Chicago wheat futures.

Traders are also positioning ahead of Monday's U.S. Department of Agriculture's monthly supply and demand report.