US soyabean futures fell for the third straight session on Thursday, dropping 1.6 percent to their lowest level in nearly a month due to a new cancellation of an export deal with China, the world's top buyer of the oilseed, traders said. Corn futures dropped 1.1 percent, falling below $7 and hitting their lowest level in nearly six months, as demand continued to weaken.

Wheat also fell to its lowest level since July as a major winter storm hit the US Plains states and provided some relief to key growing areas of the drought-stricken region. At 10:57 am CST (1657 GMT), Chicago Board of Trade January soyabean futures were down 22-1/2 cents at $14.14-1/2 a bushel. Prices bottomed out at $14.02-3/4 a bushel, their lowest level since November 21.

CBOT March corn was off 7-1/2 cents at $6.95-1/2 a bushel, the third straight day of declines for the front-month contract, which it hits lowest level since July 2. The front-month contract also dropped below key technical support at $6.97-3/8, which was the 50 percent Fibonacci retracement point from its summer rally to a record high of $8.43-3/4.

Corn futures have fallen for 10 out of the last 11 sessions, dropping 8.2 percent during that period, due to eroding demand from overseas buyers and ethanol producers. CBOT March wheat was off 14 cents at $7.91-1/2 a bushel. Prices hit their lowest level since July 3.

Copyright Reuters, 2012