GRAINS-Chicago soybeans slip after rally; corn and wheat rise

BEIJING, June 18 (Reuters) - Chicago soybean futures eased as traders booked profits on Wednesday following a three-day price rally driven by strength in soyoil and the broader energy market, while ongoing tariff uncertainty capped further gains.

The most active soybean contract Sv1 dipped 0.23% to $10.72 per bushel, though it still hovered near a one-month high.

Support for agricultural commodities such as soybeans and corn has been underpinned by rising energy prices, fuelled by escalating tensions between Israel and Iran. Higher crude oil prices improve the competitiveness of soyoil and corn as biofuel feedstocks.

Brent crude futures LCOc1 rose 0.3% to $76.71 a barrel, as of 0440 GMT. U.S. West Texas Intermediate crude futures CLc1 rose 0.5% to $75.19 per barrel.

Market participants are closely watching developments in U.S. biofuel policy.

A tax bill proposed by Senate Republicans on Monday would extend a clean fuel tax credit through 2031 but reduce its value by 20% for biofuels made from feedstocks produced outside the United States.

Traders also monitor tariff developments between Washington and Beijing, the largest buyer of U.S. soybeans.

China's move to reduce soymeal use in animal feed could potentially lower soybean imports by around 10 million metric tons by 2030, easing its reliance on foreign supply.

In top producer Brazil, soy exports are forecast to reach 14.37 million tons in June, up from 14.08 million tons in the previous week, according to Anec, a Brazilian trade group representing grain exporters.

Corn futures rose 0.17% to $4.32 per bushel, supported by uncertainty around crop weather in the U.S. Midwest, with traders awaiting more definitive forecasts.

Wheat futures rose 0.32% to $5.51 per bushel, supported by a slower-than-average U.S. winter wheat harvest, which reached 10% completion, compared to the five-year average of 16%.