Changes dateline from HAMBURG to CHICAGO, updates for market open

By Heather Schlitz

CHICAGO, May 29 (Reuters) - Chicago wheat, soybean and corn futures fell on Friday as market players booked profits ahead of the month's end, with falling crude oil prices also pushing agricultural commodities lower.

"People are moving to the sidelines and getting out," said Dan Basse, president of AgResource.

Oil futures fell 2% on Friday and were on track for their steepest weekly decline since early April after reports that the U.S. and Iran had reached agreement on a potential ceasefire extension. O/R

It was not a smooth downward slope for futures Friday, however, with comments from U.S. President Donald Trump about an agreement and possible military action against Iran.

Corn and soybean futures often track crude oil prices, as both are commonly used as feedstocks for biofuels. Markets expect any U.S.-Iran peace deal will cause sharp commodity price falls.

Chicago Board of Trade most-traded wheat Wv1 fell 12-1/4 cents to $6.11-3/4 per bushel as of 11:45 a.m. CT (1645 GMT). Corn Cv1 fell 7-3/4 cents to $4.48 a bushel, and soybeans Sv1 fell 10 cents to $11.84-1/2 a bushel.

Expectations of strong demand for soyoil for biofuel blending in U.S. fuels under the renewable volume obligations were also supportive for soybeans.

Crop-friendly weather in the U.S. Midwest has also worked to push prices lower as market players await the U.S. Department of Agriculture's weekly crop progress report that will be released on Monday.

Wheat gains were limited by upcoming Northern Hemisphere harvests. While the U.S. crop has suffered irreparable damage from drought, many other countries are on track for good crops.

China could start buying U.S. soybeans and farm products under the new trade deal, traders said.

Russia is expecting a decent 2026 grain harvest, the country's Agriculture Minister said on Friday, signalling export competition to the U.S. and other suppliers