Sept 13 (Reuters) -ICE cotton futures slipped more than 1% on Wednesday, set to snap a three-session winning streak, on speculative selling, a stronger dollar and demand concerns from the top buyer China.

* Cotton contracts for December CTZ3 fell 1.66 cents, or 1.9%, to 86.64 cents per lb by 12:15 p.m EDT (1615 GMT).

* "We rallied yesterday based on the crop production estimates but we're already reasonably high priced and it looks like that has caused some new speculative selling to enter the pit," said Jack Scoville, vice president at Chicago-based Price Futures Group.

* The U.S. Department of Agriculture (USDA) in its September World Agricultural Supply and Demand Estimates (WASDE) report on Tuesday projected global production to be 1.7 million bales lower for 2023-24.

* However, "I expect to see weaker demand from China," Scoville added. In the recent weeks, China has rolled out a series of measures, including interest rate cuts and property easing steps, to support the economy.

* China is one of the biggest buyer of U.S. cotton.

* The dollar edged higher after U.S. economic data showed inflation increased for August, making cotton more expensive for buyers overseas. USD/

* Focus now shifts to the USDA's weekly export sales report due on Thursday.

* Meanwhile in the grains market Chicago wheat, corn edged up, while soybeans inched lower. GRA/

Reporting by Rahul Paswan and Sherin Elizabeth Varghese in Bengaluru; Editing by Shailesh Kuber