GRAINS-Corn, wheat fall as dollar gains, export sales disappoint

(Updates for market close)

By Renee Hickman

CHICAGO, Dec 12 (Reuters) - Chicago Board of Trade (CBOT) corn and wheat futures fell back on Thursday on a stronger dollar following rate cuts by the European Central Bank, technical trading and slower-than-anticipated weekly export sales, according to analysts.

The dollar rose versus the euro, making U.S. exports less competitive, as the European Central Bank cut interest rates for the fourth time this year and U.S. consumer prices posted the biggest rise in seven months.

Data released by the U.S. Department of Agriculture on Thursday morning showed net corn export sales at 946,900 metric tons, below analyst forecasts for at least 1.1 million tons in a Reuters poll.

Soybean sales of 1,173,800 metric tons were also below trade estimates, although the USDA later announced another 334,000 tons of daily sales to undisclosed buyers.

The most-active wheat contract on the Chicago Board of Trade settled down 4-3/4 cents at $5.58-1/2 a bushel.

CBOT corn ended 4-3/4 cents lower at $4.43-1/2 a bushel, and soybeans closed up 1/4 cent at $9.95-3/4 a bushel following earlier losses.

Profit-taking following prior-session gains and technical selling added pressure, said Arlan Suderman, chief commodities economist at StoneX.

March corn futures hit overhead technical resistance at the 200-day moving average, he said.

Slight gains in soybeans were capped as Brazilian crop agency Conab on Thursday nudged up its forecast of 2024/25 soybean production to a new record.

Wheat drew support from market chatter that a planned Russian export quota for the second half of the season may be reduced.

But, cheap supplies from Argentina and Australia gave the wheat market little reason to sustain a rally.

"When you get these other headwinds of a stronger dollar and corn turning lower, the whole complex just kind of gave in and turned lower together," Suderman said. (Reporting by Renee Hickman in Chicago; Additional reporting by Gus Trompiz in Paris and Peter Hobson in Canberra; Editing by David Gregorio)