Overnight developments in the grains

Grains are mixed overnight with eCBOT soybeans 10-12 cents firmer on ideas that last night's steep losses were overdone. Corn showed little change.

Soybeans have declined 5 percent in the past two days on speculation that favourable weather in parts of the U.S. Midwest will boost crop prospects. Corn lost 6 percent in the two-day period. Dry weather helped revive crops ravaged last month by floods along the Mississippi and Iowa rivers, and timely rains fell in some growing areas.

There is evidence of some investors trying to get out of commodities to make up for losses from stocks or for cash , one analyst said.

Wheat is 4-5c lower this morning after wheat regions in Western Australia state, the nation's biggest grower of the grain, have received their "best rain'' of the cropping season, CBH Group said today.

There was between 10 millimeters (0.4 inch) and 40 millimeters of rain overnight, Michael Musgrave, operations manager for CBH, the state's largest grain handler and marketer, said. Rain fell across the majority of the wheat belt, he said.