Updates for market close

By Heather Schlitz

CHICAGO, May 27 (Reuters) - Chicago wheat fell to a two-week low on Wednesday, rounding off a fifth consecutive day of losses, as traders ignored a worsening of U.S. crop ratings and looked ahead to Northern Hemisphere harvests that will pour new supply into the market.

"It's the harvest, and we've already factored in production losses. The fact of the matter is until we see losses in a major producer like Australia there's still plenty of wheat to go around," said Jim Gerlach, president of A/C Trading. "It's a pretty tough time to rally going into harvest."

Corn futures hit a one-month low and soybeans ticked down as both came under pressure from falling crude oil prices.

The most actively traded wheat contract on the Chicago Board of Trade Wv1 settled 13 cents lower at $6.22-1/2 per bushel.

Traders shrugged off U.S. government data on Tuesday showing that 26% of the U.S. winter wheat crop was in good-to-excellent condition, below analyst expectations and the lowest for this time of the year on record.

CBOT corn Cv1 ended 5 cents lower at $4.52-1/2 per bushel. Soybeans Sv1 ended 3/4 cent lower at $11.85-1/4 per bushel.

Weakening crude oil prices have pressured corn and soybean prices, as both are feedstocks for biofuel.

Oil prices were about 4% lower on Wednesday after Iranian state TV said it had seen a draft of an initial, unofficial framework for an agreement between Iran and the United States on ending their conflict and reopening the Strait of Hormuz. O/R

"Crude oil is down and that's sucking the life out of commodities," Gerlach said.

Traders are also awaiting crop purchases from China. Following the summit between the two countries, the White House said China will purchase at least $17 billion per year of U.S. agricultural products.