* Corn jumps 1.5% on demand hopes following U.S.-China talks
* Decline in U.S. crop ratings underpins CBOT futures (Adds European trading, additional comment)
HAMBURG/SINGAPORE, Aug 25 (Reuters) - Chicago corn futures rose 1.5% on Tuesday, hitting their highest in more than six weeks, buoyed by expectations of higher Chinese demand for U.S. farm products following talks between the two countries.
Soybeans rose 1.1% and wheat also gained.
The Chicago Board of Trade most-active corn contract was up 1.7% at $3.51 a bushel at 1048 GMT, after hitting $3.51-1/4 a bushel, its highest since July 10.
Soybeans rose 0.9% to $9.14-1/2 a bushel. Wheat rose 0.4% to $5.30-1/4 a bushel.
Senior U.S. and Chinese officials, who spoke by phone on Monday, see progress on resolving problems over the Phase 1 trade deal reached in January between the two countries and say both sides are committed to the success of the agreement.
“It could lead to higher demand for U.S. agriculture products,” said Ole Houe, of agriculture brokerage IKON Commodities. “It has a real chance of changing things.”
There was additional support for U.S. grain and oilseed markets after the U.S. Department of Agriculture (USDA) late on Monday assessed the condition of U.S. crops behind market expectations.
“Poorer crop assessments are also driving up the prices of corn and soybeans,” Commerzbank said.
The USDA’s good-to-excellent ratings on Monday for U.S. corn and soybean crops fell further than analyst expectations after storms and continued unfavourable U.S. weather.
U.S. Corn experienced a large decline, with just 64% of the U.S. crop rated good-to-excellent, down from 69% last week and below analyst expectations of 67%.
U.S. Soybeans were rated 69% in good-to-excellent condition by the USDA, down from 72% last week and below analyst expectations of 70%.
Advisory service Pro Farmer on Friday warned U.S. corn and soybean harvests may fall below previous forecasts.
Wheat was also supported by brisk export demand, with an international tender from Egypt to buy wheat closing on Tuesday. (Reporting by Michael Hogan and Naveen Thukral, editing by Kirsten Donovan)
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