* Stable U.S. crop rating, big Australia forecast also cool
* Omicron worries revived by Moderna warning on vaccine
* Corn, soybeans also slip on virus fears
CHICAGO, Nov 30 (Reuters) - Chicago wheat prices fell to a
nearly three-week low on Tuesday, as concerns that the spread of
the Omicron coronavirus variant could slow the global economy
drove investors to reduce risk exposure.
The entire grains complex felt pressure early in the
session, after Moderna Inc's chief executive cautioned
that COVID-19 shots were unlikely to be as effective against the
Corn followed wheat lower, while soybeans fell for a fifth
straight session, as a sharp drop in the crude oil market and
good weather for crop development in South America added to the
pressure on prices.
"The overwhelming fundamental in the market right now is
fear over Omicron and what it could do to demand," said Jack
Scoville, market analyst at The Price Futures Group, who noted
that much of the sell-off was caused by funds seeking cover.
"Hopefully, we'll be seeing some better (export) demand with
these weaker prices," Scoville said. If that happens, "we should
be getting to the end of this panic selling and things should
The most-active wheat contract on the Chicago Board Of Trade
(CBOT) settled down 35 cents at $7.87-1/5 a bushel.
Earlier in the session, the contract fell to $7.82-1/2, its
lowest since Nov. 10.
CBOT soybeans settled down 24-1/4 cents to $12.17-1/4
a bushel, while corn settled 14-3/4 cents lower to
$5.67-1/2 a bushel.
Wheat markets rallied to nine-year highs this month in
Chicago and record peaks on Euronext as the possibility of more
Russian export restrictions and the risk of rain damage to
Australia's crop fanned fears of tight milling wheat supplies.
Egypt, the world's biggest wheat importer, also made its
largest single wheat purchase in years on Monday after
under-buying this season, given a surge in prices. But it is not
known if Egypt will continue its buying spree or was just taking
advantage of a dip in prices.
Global supply worries were eased by signs of a stabilizing
U.S. crop, and after Australia's chief commodity forecaster,
ABARES, revised its official estimate for the 2021/22 crop to a
record 34.4 million tonnes.
(Reporting by P.J. Huffstutter; Additional reporting by Gus
Trompiz in Paris and Naveen Thukral in Singapore; Editing by
Kirsten Donovan, Barbara Lewis and Peter Cooney)