Wheat eases and soy steadies

PARIS/SINGAPORE, Sept 27 (Reuters): Chicago wheat edged down on Friday to ease from a two-week high, while soybeans steadied after a volatile previous session, with attention turning to US inflation and grain stocks data.

Corn ticked down.

Grain and oilseed markets have been supported this week by concerns over drought hampering the planting of soybeans in Brazil and wheat in Russia.

However, forecasts for some rain in early October have tempered planting fears, while weaker-than-expected weekly U.S. wheat export sales put attention back on current competition in a well-supplied international market.

The most active wheat contract on the Chicago Board of Trade (CBOT) was down 0.81% at $5.79-1/2 a bushel by 1125 GMT. The contract had reached its highest since Sep. 13 on Thursday before closing lower.

CBOT soybeans inched up 0.02% to $10.41-1/4 a bushel, steadying after Thursday's close when prices fell sharply from an earlier two-month top.

CBOT corn ticked down 0.06% to $4.13 a bushel.

Investors are waiting for the core personal consumption expenditures (PCE) price index later on Friday as a pointer towards the U.S. Federal Reserve's interest rate policy after this month's large rate cut.

Grain traders are also seeking fresh direction from the U.S. Department of Agriculture's annual small grains summary and quarterly grain stocks reports, due on Monday.

Analysts expected the stocks report, one of the most closely watched publications in grain markets, to show a sharp year-on-year increase in U.S. inventories. "All in all, the inventory data is not likely to provide much support for higher prices," Commerzbank said in a note.

A steadying in crude oil, after a day-earlier drop linked to talk of increased Saudi supply, lent some support to soybeans and corn, which are widely used in biofuel.