Chicago wheat prices fell Monday due to ample supplies, as the fear of a worsening conflict between Russia and Ukraine threatening Black Sea exports receded.

Soybeans are up on the back of increased buying interest following contract lows in the last week. Corn declined on the back of spillover weakness in wheat and favorable weather forecasts for South America.

Chicago Board of Trade's most active wheat fell 1.2% to $5.57-1/2 per bushel by 1135 GMT. Corn dropped 0.2% to $4.34 per bushel. Soybeans increased 0.6% to $9.89-12 a bushel, after falling to their lowest level since October 21st on Friday.

Last week, Russia launched a hypersonic ballistic missile with intermediate range at Ukraine as retaliation for the U.S. allowing Kyiv use Western weapons to attack Russian territory.

The Black Sea grain supply was a concern during the strike.

A German trader stated that "Overall the fighting in Ukraine doesn't seem to have intensified beyond normal levels, and wheat exports from Russia and Ukraine continue at high volume," as per usual.

The world market continues to offer Russian wheat at low prices. 11.5% Russian is priced at $220 per ton FOB, and 12.5% at $228-$230. Demand on the market is very low with only a few tenders.

He said that despite expectations of a slowerdown, Russian wheat has been exported at a rate of more than one million tons per week so far this November.

A Singapore-based trader said: "The market for wheat has been supported by the escalation in the Black Sea Region, but now it has fallen as there are no major issues with supplies."

Corn production was impacted by the forecast of rains that would be favorable to crops in South America.

After contract lows were reached on Thursday, soybeans are again attracting interest. This is due to the favorable weather conditions in South America and Brazil-China trade agreements that could shift Chinese sales from the U.S.

(source: Reuters)