(Adds closing prices, bullets)
* Commodity selling drags down grains - analysts
* Weekly U.S. corn, wheat export sales top estimates
* Beneficial U.S. rains weigh on CBOT wheat
CHICAGO, Oct 29 (Reuters) - U.S. grain futures extended
losses on Thursday, with corn and wheat hitting two-week lows as
concerns over the COVID-19 pandemic's economic impact weighed on
Improving global crop weather added pressure on prices, with
rains benefiting dry wheat-growing areas in the United States
and Russia and soybean-producing regions of Brazil, traders
Crude oil also fell as COVID-19 lockdowns in Europe and
rising cases elsewhere clouded the demand outlook.
"The energy sector spills over into the agricultural market
when it comes to soybean oil and corn," said Terry Reilly,
senior commodity analyst for Futures International. "Widespread
commodity selling is obviously a major factor."
The most actively traded corn futures on the Chicago Board
of Trade finished 3 cents lower at $3.98-1/2 a bushel and
touched their lowest price since Oct. 14.
Most-active CBOT wheat futures fell 5 cents to
$6.03-3/4 per bushel and reached the lowest price since Oct. 15.
Soybean futures ended down 4-1/4 cents at $10.50-1/2 a
bushel and hit their lowest price since Oct. 19. Soybeans have
retreated since rising on Monday to their highest price since
"Nervousness and volatility are setting up on all markets,
the main consequence of the new wave of the COVID pandemic,"
French consultancy Agritel said. "Funds started to take profits,
motivated by the uncertainties over global demand and the U.S.
Selling overshadowed strong export demand, traders said.
The U.S. Agriculture Department said weekly U.S. wheat
export sales totaled 803,200 tonnes, topping market forecasts
for 200,000 tonnes to 700,000 tonnes.
Weekly U.S. corn export sales reached 2.244 million tonnes,
above estimates for 700,000 tonnes to 1.5 million tonnes.
Soybean export sales were 1.630 million tonnes, in line with
Mexican buyers separately booked deals to buy their largest
volume of U.S. corn since December 2019, the USDA said on
(Reporting by Tom Polansek in Chicago. Additional reporting by
Colin Packham in Sydney and and Sybille de La Hamaide in Paris
Editing by David Goodman, Tom Brown and David Evans)