BEIJING, June 20 (Reuters) - Chicago wheat futures

pulled back on Friday after a pre-holiday short-covering rally

in the U.S., as harvest pressure looms in Europe and Black Sea

region.

Soybean futures eased but remain on track for a third

straight weekly gain, partly supported by strong soyoil prices

amid escalating tensions between Israel and Iran. Corn is poised

to end the week lower.

FUNDAMENTALS

* The most-active wheat contract dropped 0.74% to

$5.86-6/8 a bushel, as of 0058 GMT, but remains near a

four-month high and is still set for a weekly gain.

* Soybeans dipped 0.09% to $10.73-6/8 per bushel but

remained on course for a third consecutive weekly gain.

* Corn eased 0.23% to $4.32-4/8 a bushel, with prices

hovering near their lowest level of 2025.

* Wheat found some support in previous trading session, as

weather concerns in parts of the U.S. and Europe prompted

speculators to cover short positions. Looming harvest pressure

in other growing regions limited gains.

* Strength in the energy market this week, driven by

heightened tensions between Israel and Iran, has lent support to

agricultural commodities like soybeans and corn. Higher crude

oil prices enhance the appeal of soyoil and corn as biofuel

feedstocks.

* In Argentina, corn yields are exceeding initial

expectations in some areas for the 2024/25 crop, the Buenos

Aires Grains Exchange said on Thursday, though it maintained its

overall harvest forecast at 49 million metric tons as excessive

moisture slowed fieldwork.

* Traders are awaiting market direction from the USDA's

weekly export sales report, which will be released later on

Friday.

MARKET NEWS

Global stocks fell and the dollar rose on Thursday,

reflecting investors' preference for perceived safe havens as

concerns mounted over possible U.S. involvement in the

Israel-Iran air war, which has ignited a rally in the oil price

this week.

DATA/EVENTS (GMT)

0100 China Loan Prime Rate 1Y, 5Y June

0600 UK Retail Sales MM, Ex-Fuel MM, YY May

0645 France Business Climate Mfg, Overall Jun

1230 US Philly Fed Business Indx Jun

1400 EU Consumer Confid. Flash Jun