GRAINS-Soy, wheat fall on US trade uncertainty after tariff ruling

By Tom Polansek

CHICAGO, Feb 23 (Reuters) - Chicago Board of Trade soybean futures slipped on Monday as traders sought to assess the impact on U.S. exports from the Supreme Court's decision to strike down President Donald Trump's import tariffs.

Wheat futures also declined, while corn futures were nearly flat.

Trump on Friday imposed a 10% temporary tariff after the Supreme Court struck down his previous tariff program. He ordered the start of new investigations under other statutes that officials said could result in additional tariffs affecting many trading partners. On Saturday he lifted the temporary duty to 15% on U.S. imports from all countries, the maximum allowed by the law.

Grain traders were waiting to see whether other countries will retaliate against the U.S. over the increase in baseline tariffs.

China, the world's biggest soybean importer, may be less likely to make more big purchases of U.S. supplies following the Supreme Court's ruling, analysts said.

"I think it' just nervousness around that psychology: what's does it mean for our export demand going forward?" said Don Roose, president of U.S. Commodities in Iowa.

Most-active soybean futures Sv1 were down 3-1/4 cents at $11.50 a bushel at 12:40 p.m. CST (1840 GMT). Wheat futures Wv1 fell 4-3/4 cents to $5.75-1/2 a bushel, while corn Cv1 rose 1 cent to $4.40-3/4 a bushel.

DOUBTS ABOUT CHINESE BUYING

Traders have watched U.S. export demand after a trade dispute with Beijing last year disrupted Chinese buying of U.S. soybeans. In late October, Washington and Beijing reached a trade truce that restarted China's purchases.

“Several other countries ranging from Bangladesh, Indonesia to Vietnam also made deals in various forms to buy U.S. farm goods," a German trader said. "The question is whether these deals will be quietly dropped as the threat of U.S. tariffs disappears.”

U.S. Trade Representative Jamieson Greer on Sunday said none of the countries that reached trade deals with the U.S. had shared plans to withdraw following the Supreme Court decision.