GRAINS-Wheat rebounds after sharp fall, corn and soybean down

* Wheat supported by lower crop conditions in the U.S. * Corn and soybeans down for a fourth consecutive session (Recasts with wheat price move) By Naveen Thukral and Sybille de La Hamaide SINGAPORE/PARIS, March 2 (Reuters) - Chicago wheat rebounded 1.4% on Tuesday, after hitting a two-week low in earlier trade, on bargain buying and supported by reports of declining crop conditions in some large U.S. grain growing regions. Corn and soy were down for a fourth straight session, mainly pressured by fund selling. The U.S. Department of Agriculture's (USDA) in a weekly crop report on Monday rated 37% of the wheat crop in Kansas, the biggest U.S. winter wheat producer, in good to excellent condition, down from 40% a week earlier. It also cut its crop condition estimates for Texas and Oklahoma. The most-active wheat contract on the Chicago Board Of Trade (CBOT) rose 1.4% to $6.59-1/4 a bushel by 1258 GMT, after a choppy session. It fell as low as $6.45-1/2 and rose up to $6.60-1/2 in earlier trade. Corn dropped 0.% to $5.35-1/4 a bushel, up from a session low of $5.31-1/2 a bushel, the weakest since Feb. 11. Soybeans were off 0.2% at $13.88 a bushel. "Our prime candidate for the move lower is investors re-balancing portfolios," said Tobin Gorey, director of agricultural strategy at the Commonwealth Bank of Australia. "The background fundamentals though are supportive, if not better. Argentina's major corn crop regions are increasingly likely to experience a period of hot and dry weather. And that weather might prove to be enough for forecasters to reduce their crop estimates." Commodity funds were net sellers of CBOT wheat, corn, soybean, soyoil and soymeal futures contracts on Monday, traders said. Strong demand continues to underpin agricultural commodities. The U.S. Department of Agriculture said 197 million bushels of U.S. soybeans were crushed in January, above expectations for 195.6 million bushels. In Brazil, farmers are expected to harvest 133.5 million tonnes of soybeans for 2020/21, up from a previous estimate of 132.8 million, according to broker StoneX. Consultancy Sovecon raised its forecast for Russia's 2020/21 wheat exports by 1.2 million tonnes to 39.1 million tonnes. Prices at 1258 GMT Last Change Pct End Ytd Move 2020 Pct Move CBOT wheat 659.25 9.00 1.38 640.50 2.93 CBOT corn 535.25 -3.00 -0.56 484.00 10.59 CBOT soy 1388.00 -3.25 -0.23 1311.00 5.87 Paris wheat 252.00 2.00 0.80 213.25 18.17 Paris maize 227.00 -0.50 -0.22 219.00 3.65 Paris rapeseed 499.00 2.75 0.55 418.25 19.31 WTI crude oil 60.91 0.27 0.45 48.52 25.54 Euro/dlr 1.20 0.00 -0.13 1.2213 -1.49 Most active contracts - Wheat, corn and soy US cents/bushel, Paris futures in euros per tonne (Reporting by Naveen Thukral and Sybille de La Hamaide; Editing by Subhranshu Sahu and David Evans)

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