* Grain traders take profits before the weekend
* Brazilian drought raises worries for 2024 soybean crop
* River transport disruptions support grain prices
CHICAGO, Oct 20 (Reuters) - Chicago Board of Trade corn futures hit their highest price since August on Friday before pulling back, while soybean futures retreated from a one-month high.
The markets eased as traders took profits after concerns about a drought in Brazil disrupting grain shipments on rivers and slowing soy plantings helped lift prices, analysts said.
Technical buying and hopes for additional U.S. export demand had also supported futures.
U.S. farmers with crops to sell welcomed the return of corn prices above $5 a bushel as many continue to harvest their fields, bringing fresh supplies to the market.
"I thought it was great," said Sherman Newlin, an Illinois farmer and analyst with Risk Management Commodities. "If we can close over $5 for the week, that would be good,"
Most-active corn futures were down 3 cents at $5.02 a bushel by 11:45 a.m. CDT (1645 GMT) after rising earlier to $5.09-1/2, the highest price since Aug. 2. Soybean futures set a one-month high of $13.18-1/2 before falling 11-1/2 cents to $13.04 a bushel.
Farmer sales of soybeans have picked up in recent days, with strength in the futures market and basis gains combining to push cash prices above $13 a bushel in many areas, an Iowa dealer said.
"Transport disruptions in Brazil due to the low water level in rivers and a lack of rains is supporting soybeans," a Singapore-based trader said. "The market is closely watching planting weather in Brazil."
CBOT soymeal backpedaled after strong U.S. export demand pushed the market to a July high on Thursday.
But wheat futures were up 4 cents at $5.98 a bushel at the CBOT.
Almost half of Argentina's 2023/24 wheat crop is in fair to poor condition due to the lack of rainfall currently affecting core agricultural areas, the Buenos Aires Grain Exchange said on Thursday. (Reporting by Tom Polansek in Chicago. Additional reporting by Naveen Thukral and Sybille de La Hamaide; Editing by Subhranshu Sahu and Jane Merriman)
