(In paragraph 7, corrects winter wheat harvest progress to 7% instead of 12%)
* USDA sees gives favorable crop assessments
* U.S. wheat harvest gathering pace
* More Chinese soybean buying awaited in U.S.
CHICAGO, June 9 (Reuters) - Chicago wheat, corn and soybean futures fell on Tuesday, giving back some gains from recent rallies as the U.S. Department of Agriculture gave an assessment of crop conditions that analysts viewed as favorable.
The Chicago Board of Trade’s most-active soybean contract was down 3-3/4 cents at $8.61-1.2 a bushel by 10:45 a.m. (1545 GMT).
Corn fell 5-1/4 cents to $3.28-1/2 a bushel, and wheat slid 7-3/4 cents to $5.03-3/4 a bushel.
“It’s not unexpected today, when you look at the factors of weather and where this crop is,” said Chuck Shelby, president of Risk Management Commodities.
The USDA’s weekly crop conditions report, issued after the market close on Monday, rated 75% of the U.S. corn crop as good to excellent, up from 74% last week and aligned with average analyst estimates in a Reuters poll.
For soybeans, the USDA rated 72% of the crop as good to excellent, up from 70% last week, and 82% of U.S. spring wheat as good to excellent, above analyst expectations of 80%.
Some 7% of U.S. winter wheat was harvested, up from 3% last week, with 51% of the crop in good to excellent condition, slightly better than analyst expectations of 50%.
Weather forecasts for much of the Midwest indicate heavy rains in the coming week as tropical depression Cristobal pushes moisture up the Mississippi River Valley, followed by hot, dry weather, which should support crop conditions moving into July, analysts said.
Meanwhile, traders were anticipating the USDA’s World Agricultural Supply and Demand Estimate and Crop Production reports on Thursday.
“If we can get through that report without any bearish, shocking surprise, I think we will continue to resume the seasonal uptrend higher,” said Ted Seifried, chief ag market strategist at The Zaner Ag Hedge Group. “But that report does always have the potential to smash the technical picture.” (Reporting by Christopher Walljasper; additional reporting by Michael Hogan in Hamburg and Naveen Thukral in Singapore; Editing by David Gregorio)
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