SINGAPORE  - Chicago wheat lost ground on Monday after finishing the last two weeks lower, as the market faced pressure from abundant world supplies and an outlook for a bumper northern hemisphere crop.

Soybeans rose for a second session although gains were checked by higher production in South America.

FUNDAMENTALS

The wheat market is being weighed down by amply supplied world market. Wheat production in top exporters Russia and the United States is expected to be above average with crops benefiting from friendly weather.

U.S. soybean inventories have swelled as the Sino-U.S. trade war has hurt shipments of American beans to Chinese buyers.

China has instead made purchases from Brazil, which is expected to harvest a bigger-than-expected crop and cause stiff competition in the world market.

The Argentine government estimated its 2018-19 corn harvest at 55 million tonnes on Wednesday, and predicted the 2018-19 soy harvest at 55.9 million tonnes.

The estimates are higher than the previous season's harvests of soybeans and corn which were 37.78 million tonnes and 43.46 million tonnes, respectively, according to the government, after a historic drought damaged crops significantly.

Corn, wheat and soybean markets are likely to take direction from a weekly planting progress report from the U.S. Department of Agriculture report.

MARKET NEWS

Asian stocks were steady on Monday as investors awaited the return of major financial markets from the Good Friday holiday, while oil prices spiked on a report the U.S. is likely to ask all importers of Iranian oil to end their purchases or face sanctions.       

(Reporting by Naveen Thukral; Editing by Gopakumar Warrier)

© Reuters News 2019