GRAINS-Wheat futures slide on rising world production estimates

By Julie Ingwersen

CHICAGO, Dec 10 (Reuters) - U.S. wheat futures fell more than 1% on Wednesday to their lowest since late October on reminders of rising global supplies of the food grain, analysts said.

Corn futures also sagged while soybean futures rebounded from multi-week lows, buoyed in part by news of fresh U.S. soy export sales.

As of 12:58 p.m. CST (1858 GMT), Chicago Board of Trade March wheat WH26 was down 6-1/2 cents at $5.28 a bushel after dipping to $5.25-1/4, its lowest since October 23.

CBOT March corn CH26 was down 4-1/2 cents at $4.43-1/2 a bushel while January soybeans rose 3 cents at $10.90-1/4 a bushel.

Wheat declined for a fourth session a day after the U.S. Department of Agriculture raised its forecast of world ending stocks in a monthly report. The USDA also raised its wheat production forecasts for Russia, Australia, Canada and several other key suppliers.

"We have changed some of the narrative regarding the world wheat tightness, which had been in place this (past) summer," said Rich Nelson, chief strategist for Allendale Inc.

Nonetheless, traders continue to monitor the threat of attacks on shipping in the Black Sea that could inhibit grain shipments.

Soybean futures turned higher after the USDA announced a series of fresh purchases of U.S. supplies of the oilseed under daily reporting requirements. The government confirmed private sales of 136,000 metric tons of U.S. soybeans to China, another 331,000 tons to undisclosed destinations and 120,000 tons of soymeal to Poland.

However, some analysts believe the USDA's forecast of overall U.S. soybean exports for the 2025/26 marketing year that began on September 1, 2025, is still too high at 44.5 million metric tons, with the harvest of a bumper Brazilian crop just a few weeks away.

"The export target ... raises questions as the current pace makes it impossible to achieve," Argus Media analysts said, adding the USDA may have to lower the forecast in its January report.

Brazil is the world's biggest soybean exporter, supplying top buyer China as well as other countries.

"Given that we are seeing a transition in export pricing right now where Brazil will take over for the next four months, it's hard to see the non-China buyer being too aggressive" in booking U.S. soy, Nelson said.