Updates with European trading

Jan 28 (Reuters) - Chicago grain and soybean futures climbed on Wednesday after the dollar's weakening to a four-year low made U.S. crops more attractive for overseas buyers.

Grain markets were also monitoring the impact of a winter storm on U.S. wheat fields and agricultural supply chains while assessing comments by U.S. President Donald Trump about steps to approve use of a higher blend of corn-based ethanol fuel.

Plentiful global supply of soybeans, corn and wheat, however, remained a curb on prices, analysts said.

The most active wheat contract Wv1 on the Chicago Board of Trade was up 1.6% at $5.31-3/4 a bushel by 1249 GMT, approaching a six-week high struck on Monday.

CBOT soybeans Sv1 gained 1% to $10.77-1/2 a bushel after touching a one-month peak of $10.78-3/4. CBOT corn Cv1 was up 0.7% at $4.29-1/2 a bushel.

"In terms of competitiveness, U.S. origins are benefiting from the sharp drop in the dollar, which is also lending some firmness to the broader commodity complex," Argus Media said.

"However, fundamentals remain broadly unconvincing, with a comfortable global (supply) balance sheet."

The dollar index .DXY steadied on Wednesday but held near the four-year low hit on Tuesday in reaction to Trump's reference to the dollar's value as "great", which raised expectations of further dollar weakness. FRX/

In wheat, a tender being held by Tunisia on Wednesday was adding to a run of demand from importers. GRA/TEND

In South America, meanwhile, intense hot and dry weather has hit Argentina, threatening crop production in the world's leading exporter of soy meal and soy oil and the third-largest supplier of corn.

However, Brazil is in the early stages of harvesting what is forecast to be a record soybean crop. Traders expect China to turn mainly to Brazil for imports in the coming months after a recent wave of U.S. soybean purchases.

In Russia, the world's biggest wheat supplier, concerns over damage to wheat crops and disruption to exports from severe winter weather were subsiding.

Consultancy Sovecon raised its 2025/26 Russian wheat export forecast by 1.1 million metric tons on Tuesday to 45.7 million tons.

Prices at 1249 GMT
	Last	Change	Pct Move
CBOT wheat Wv1	531.75	8.50	1.62
CBOT corn Cv1	429.50	3.00	0.70
CBOT soy Sv1	1077.50	10.25	0.96
Paris wheat BL2c1	187.50	0.25	0.13
Paris maize EMAc1	191.00	0.00	0.00
Paris rapeseed COMc1	481.75	0.00	0.00
WTI crude oil CLc1	62.73	0.34	0.54
Euro/dollar EUR=	1.20	-0.01	-0.56
Most active contracts - Wheat, corn and soy U.S. cents/bushel, Paris futures in euros per metric ton