I was in the rain today and backing out of my driveway. When I was turning the steering wheel I heard this weird sound. It sound almost as if something is not oiled wheel or something is grinding. Then when I get it up to speed the turning sound goes away. Its only when I am backing out.

Can anybody inform me on this issue

 

If you don't notice it when it's dry, it's most likely one of the rubber gasket rubbing on the steering components. In dry weather, it slides easily so you don't hear anything. When it's wet, it binds on the steering and causes the noise you're hearing, like fingernails on a chalkboard.