* Copper down from two-week high; U.S. crude declines * China imports of both commodities slows, raising concerns about economy * Gold, grains steady ahead of weekend debt crisis meeting By Jane Lee KUALA LUMPUR, Oct 13 (Reuters) - Copper and crude oil fell in Asian trading on Thursday after China's trade surplus narrowed, raising concerns about growth in the world's second-largest economy at a time when the global outlook remains uncertain. Copper on the London Metal Exchange declined from a two-week closing high reached on Wednesday, while U.S. crude lost 0.9 percent. Worries that China will not be able to prop up global demand as Europe teeters on the brink of recession and the U.S. economic recovery stalls have sent commodity prices lower. Soybeans and wheat also dropped after the U.S. Department of Agriculture raised global supply estimates. Investors fear a slowdown in Chinese demand for crude and copper means domestic factories will reduce their usage of oil products and industrial materials. The Asian nation consumes more than one-tenth of crude in the world and about a third of the world's copper. China's exports increased 17.1 percent last month from a year ago, slowing from a 24.5 percent gain in August, and imports climbed 20.9 percent, compared with August's 30.2 percent rise, the customs office said on Thursday. "The world economy isn't looking very rosy," said Brynjar Bustnes, an analyst at JPMorgan in Hong Kong. "Demand will remain weak in the fourth quarter (in China)," he said. Concern about the slowdown in China added to the gloomy outlook as Europe remains mired in its debt crisis after nations in the euro zone area faced bigger losses on their holdings of Greece debt. Brent crude for November LCOc1 fell 16 cents to $111.20 a barrel by 0636 GMT, after a gain of 11.6 percent over the previous six sessions. U.S. November crude CLc1 slipped 75 cents to $84.82 a barrel, after tumbling to an intraday low of $84.64. Three-month copper on the London Metal Exchange fell to $7,370 a tonne, after touching $7,544.75, its highest since Sept. 28, in the previous session, and closing 3.2 percent higher. LME copper has risen 7.2 percent from the start of the month to Wednesday's close, after losing a quarter of its value in the three months through Sept. 30. "Copper's spot demand remains steady and I think Chinese consumers are willing to restock in a limited way when we see more technical clarity," said Zhou Jie, an analyst at CiFCO Futures in Shanghai. GOLD AND GRAINS Gold prices held steady as investors are waiting for the G20 meeting this weekend in Paris, where finance ministers and central bank governors are expected to press Europe to find an urgent solution to its debt crisis. Spot gold edged down 0.3 percent to $1,672.29 an ounce by 0639 GMT, off a 2-1/2-week high of $1,691.60 reached in the previous session. U.S. gold GCcv1 fell 0.5 percent to $1,674.30 an ounce. In the grains market, prices fell as the U.S. government report heightened concern that consumption will slow just as harvests swell. World grain supplies will be much healthier next year than previously forecast, the U.S. Department of Agriculture said in a monthly report on Wednesday. Chicago Board of Trade November soybeans fell 0.6 percent to $12.32 a bushel, while December wheat was steady at $6.27-1/2 a bushel. December corn slipped 0.4 percent to $6.38-1/4 a bushel.

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