SYDNEY, Oct 10 (Reuters) – U.S. wheat futures rose on Friday, rebounding from sharp losses in the previous session and poised to record a weekly climb of more than 2 percent, though expectations the U.S. government would report plentiful global supplies capped gains.

FUNDAMENTALS

* Chicago Board of Trade front-month wheat was up more than 2 percent for the week, the second straight weekly gain.

* Front-month soybeans have risen more than 3 percent over the week, the biggest the weekly gain since August 22.

* Front-month corn has gained more than 6 percent for the week, the biggest seven-day gain since May 2013.

* The monthly supply and demand report was expected to show that 2014/15 U.S. ending stocks of wheat would be 704 million bushels, up 6 million bushels from the government’s estimate of a month ago and well above the 590 million bushels left over at the end of the 2013/14 crop year.

* Global wheat end stocks were estimated to come in at a robust 196.38 million tonnes.

* The USDA said on Thursday morning that weekly export sales of wheat were just 372,400 tonnes, below the range of trade estimates for 400,000 to 600,000 tonnes.

* Record crops of both corn and soybeans were expected in the United States, keeping the futures gains in check.

MARKET NEWS

* The euro stayed on the back foot early on Friday, having come under renewed pressure overnight after an eye-catching plunge in German exports raised fears of a recession in Europe’s largest economy.

* Brent broke below $90 a barrel on Thursday for the first time since the summer of 2012, joining a rout in U.S. crude and gasoline prices as sinking stock prices, Europe’s worsening outlook and surging oil inventories hammered energy markets.

* The S&P 500 on Thursday posted its largest percentage decline in six months on concerns about the strength of the global economy and its effect on corporate earnings.

DATA AHEAD (GMT)

0645 France

Industrial output

Aug

0800 Italy

Industrial output

Aug

1230 U.S.

Import prices

Sep

1230 U.S.

Export prices

Sep

1600 USDA releases world agricultural supply/demand report

Grains prices at 0054 GMT Contract

Last

Change Pct chg Two-day chg MA 30 RSI CBOT wheat

495.25

2.00 +0.41%

-2.46%

501.78 52 CBOT corn

343.50

-1.25 -0.36%

+0.00%

364.55 66 CBOT soy

940.25

-1.75 -0.19%

+0.56%

962.63 48 CBOT rice

$12.57 -$0.03 -0.20%

-0.44%

$12.62 43 WTI crude

$84.77 -$1.00 -1.17%

-2.91%

$91.94 19 Currencies

Euro/dlr

$1.270 $0.001 +0.04%

-0.30% USD/AUD

0.876 -0.002 -0.23%

-0.93% Most active contracts Wheat, corn and soy US cents/bushel. Rice: USD per hundredweight RSI 14, exponential (Reporting by Colin Packham; Editing by Joseph Radford)