GRAINS-Corn slips again as crop conditions weigh

By Gus Trompiz and Naveen Thukral

PARIS/SINGAPORE, July 8 (Reuters) - Chicago corn futures extended losses on Tuesday to approach a 2025 low as improved U.S. crop ratings and forecasts of more benign weather in the Midwest kept the focus on bumper harvest prospects.

Soybeans also edged down towards a multi-month low as favourable U.S. crop conditions similarly created supply pressure while uncertainty over the outcome of Washington's tariff-based negotiations with trading partners worldwide weighed on demand sentiment in commodities.

The most active corn contract on the Chicago Board of Trade (CBOT) Cv1 lost 0.7% to $4.18 a bushel by 1207 GMT. It earlier touched $4.17, approaching an eight-month low of $4.02-1/4 struck at the end of June.

The U.S. Department of Agriculture said after Monday's market close that 74% of the nation's corn crop was in good or excellent condition, up one percentage point from a week earlier and the highest for this time of year since 2018.

"On the ground, corn growing conditions continue to improve," Argus analysts said in a note. "This reflects strong production potential, possibly approaching 400 million tons."

Regular rain and moderate heat are forecast for the week ahead in the main corn belt, potentially sustaining optimal growing conditions.

CBOT soybeans Sv1 lost 0.4% to $10.16-3/4 a bushel.

The USDA rated 66% of the U.S. soybean crop as good to excellent, unchanged from last week but down from 68% a year earlier.

Large U.S. crops would add to bumper production of soybeans and corn in rival exporter Brazil.

Farmers in Brazil's centre-south had harvested 28% of their 2025 second corn crop as of last Thursday, agribusiness consultancy AgRural said on Monday, up 10 percentage points from the previous week but below the 63% reported a year earlier.

Chicago corn and soybean futures had fallen sharply on Monday, with pressure also coming from a lack of visible progress in trade talks with major importer China. Traders had speculated that U.S. President Donald Trump might use a speech on Friday in the farming state of Iowa to announce developments in the negotiations with Beijing.

Trump's unveiling of tariffs against countries including grain importers Japan and South Korea, as well as a three-week delay before implementing the duties, maintained concerns over the demand outlook for agricultural markets.

CBOT wheat Wv1 eased 0.5% to $5.46 a bushel.

The U.S. winter wheat harvest progressed faster than expected last week, USDA data showed, helping to keep the focus on incoming supply from Northern Hemisphere crops.

Friday's news that Russia will cut its wheat export tax to zero also underscored stiff expected competition from Black Sea supplies as the 2025/26 season gets under way.