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Chicago grains rebound with broader markets ahead of U.S. jobs data

By Gus Trompiz and Emily Chow

PARIS/KUALA LUMPUR, Sept 2 (Reuters) - Chicago corn, wheat, and soybean futures regained ground on Friday, tracking a wider rebound in financial markets as investors awaited U.S. jobs data for a pointer to economic conditions and further interest rate hikes.

Grain markets were also waiting for U.S. corn and soybean harvesting to get under way after contrasting assessments of the crops in recent weeks. The run-up to a three-day holiday weekend in the United States was further encouraging participants to adjust positions, traders said.

The most-active corn contract on the Chicago Board of Trade (CBOT) was up 0.9% at $6.63-3/4 a bushel by 1018 GMT. CBOT wheat added 1.6% to $8.07-1/4 a bushel while soybeans were up 1.0% at $14.08-1/4 a bushel.

On Thursday, corn and wheat had touched near one-week lows on, as they pulled back from multi-week peaks struck on Monday, while soybeans had slipped to a near two-week low. Share prices recovered on Friday after losses fuelled by recession fears, ahead of monthly U.S. jobs figures at 1230 GMT.

Oil also rose on expectations that OPEC+ producing countries will discuss output cuts at a Sept. 5 meeting.

The dollar index fell back from a 20-year high, supporting commodities priced in the U.S. currency.

"Today's job numbers matter for the macro environment and our commodity markets," Peak Trading Research said in a note. "The macro environment is a strong bearish headwind for commodity prices this week."

Grain prices have also been curbed by increasing shipments from war-torn Ukraine under a maritime agreement and competitive export prices for Russian wheat. The United Nations food agency's world price index fell for a fifth month in a row in August, further from all-time highs hit earlier this year, as the resumption of grain exports from Ukrainian ports contributed to improved supply prospects. However, Ukraine is also facing a fall in wheat sowing for next year's crop, with the Ukrainian Agrarian Council on Thursday warning the area may plunge by 30 to 40%.

Prices at 1018 GMT Last Change Pct End Ytd Pct Move 2021 Move CBOT wheat 807.25 13.00 1.64 770.75 4.74 CBOT corn 663.75 5.75 0.87 593.25 11.88 CBOT soy 1408.25 13.50 0.97 1339.25 5.15 Paris wheat 325.50 -3.25 -0.99 276.75 17.62 Paris maize 318.25 0.25 0.08 226.00 40.82 Paris rape 610.25 5.25 0.87 754.00 -19.06 WTI crude oil 88.53 1.92 2.22 75.21 17.71 Euro/dlr 1.00 0.01 0.63 1.1368 -11.97 Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne.

(Reporting by Gus Trompiz in Paris and Emily Chow in Kuala Lumpur; Editing by Subhranshu Sahu, Uttaresh.V and Tomasz Janowski)

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