SYDNEY - U.S. wheat futures edged lower on Tuesday retreating from a three-week high touched in the previous session, but concerns over global production amid adverse weather in several major exporting countries capped the losses.

Corn fell too following the lead of wheat, while soybeans edged higher.

The most active wheat futures on the Chicago Board Of Trade were down 0.4 percent at $5.17-3/4 a bushel, as of 0344 GMT. In the previous session, wheat futures closed 3.3 percent firmer, when prices hit $5.20-3/4 a bushel, the highest since Oct. 20.

Traders and analysts said wheat had drawn strong support amid expectations for an upturn in demand for U.S. supplies and fears over the crop in Argentina, though many said this was overblown.

"The market is discussing the less-than-ideal conditions for 2019 winter crops in several parts of the world," said Tobin Gorey, director of agricultural strategy, Commonwealth Bank of Australia.

"Plenty of things need to keep going wrong before people cut their crop estimates," he added.

The most active corn futures slipped 0.3 percent to $3.70-1/4 a bushel, after ending 0.4 percent higher in the previous session.

The most active soybean futures were up 0.3 percent at $8.85-3/4 a bushel, having closed down 0.5 percent on Monday.

Soybeans remained mixed as traders mull the U.S. Department of Agriculture's Nov. 8 forecast for U.S. soybean stocks to rise to 955 million bushels by the end of the 2018/19 marketing year following a record-large harvest and as a trade fight with China limits exports.       

(Reporting by Colin Packham; Editing by Rashmi Aich)

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