SINGAPORE, Jan 24 (Reuters) - Chicago soybean futures rose further on Wednesday, with prices climbing to their highest level in more than a week on support from short-covering, although expectations of record South American supplies limited the gains.
Wheat rose after closing almost unchanged on Tuesday, while corn ticked higher.
FUNDAMENTALS
* The most-active soybean contract on the Chicago Board of Trade (CBOT) added 0.2% to $12.41-1/4 a bushel, as of 0156 GMT, after climbing earlier in the session to its highest since Jan. 12 at $12.41-1/2 a bushel.
* Wheat rose 0.8% to $6.01 a bushel and corn gained 0.2% at $4.47-1/4 a bushel.
* Commodity funds were net buyers of CBOT soybean, soymeal, soyoil, corn and wheat futures contracts on Tuesday, traders said.
* Gains in the soybean market were curbed by expectations for a large South American soybean harvest. While analysts have cut forecasts for Brazil's soybean crop due to drought late last year, improved rainfall could limit the losses. Argentina is on course for a bumper harvest this year.
* In corn, attention was turning to planting for Brazil's second annual crop. Forecasters expect lower production from Brazil's second corn crop, reflecting a smaller planted area.
* Doubts over Chinese demand are also providing headwinds to the markets, with Brazilian exports posing stiff competition to U.S. soybeans and corn.
MARKET NEWS
* MSCI'S global equities index gained very slightly as investors digested a mixed crop of earnings reports and waited for key economic releases due later in the week while the yen fell after the Bank of Japan left monetary policy unchanged.
DATA/EVENTS (GMT) 0815 France HCOB Mfg, Serv, Comp Flash PMIs Jan 0830 Germany HCOB Mfg, Serv, Comp Flash PMIs Jan 0900 EU HCOB Mfg, Serv, Comp Flash PMIs Jan 0930 UK Flash Comp, Mfg, Serv PMIs Jan 1100 UK CBI Business Optimism Q1 1445 US S&P Global Mfg, Svcs, Comp Flash PMIs Jan (Reporting by Naveen Thukral; Editing by Subhranshu Sahu)
