UPDATE 1-EU wheat flat as U.S. markets, crude dip

(Adds pullback from peaks in late trade)
HAMBURG, Aug 27 (Reuters) - European wheat markets pulled
back from early gains on Monday to trade little changed late in
the session as Chicago grains and crude oil slipped from their
highs, traders said.
* Europe's benchmark wheat, the Paris November contract
, was unchanged at 260.25 euros a tonne at 1618 GMT,
moving in and out of positive territory in late trade.
* Paris November wheat had risen to 263 euros earlier on
Monday supported by a rise in U.S. soybeans to new contract
highs after a key tour of experts by the Pro Farmer team
concluded the drought damage to the U.S. soybean crop is worse
than U.S. government forecasts.
* But Chicago soybeans and wheat fell in early trading on
Monday, crude oil also dropped and the dollar strengthened.
* "I think the weakness in Paris is caused by the general
fall in outside markets and commodities rather than a specific
wheat market issue," said Rory Deverell of Intl FCStone Europe.
* "Since the end of July French milling has been moving in a
trading range between 254 and 268 euros so the move today is no
major new development," a French trader said. "The Egyptian
purchase of Russian wheat pressured U.S. wheat futures on Monday
which is also pressuring Paris late in the day.
* Despite fears drought damage may cut Black Sea export
supplies, Egypt bought Russian and Romanian wheat in a snap
purchase tender on Saturday.
* "It could be viewed as bearish that Russian wheat was
offered so extensively to Egypt in the tender on Saturday,"
another trader said. "But the other side of the coin is that
Russian wheat export supplies could be sold out quickly, perhaps
by the end of this year, if Russian export sales carry on at
this speed."
* Russian Deputy Prime Minister Arkady Dvorkovich, who
coordinates farm policy, will discuss prospects for the
drought-hit grain harvest with Agriculture Minister Nikolai
Fyodorov on Friday.
* Russia's government has cut its 2012 grain crop forecast
to 75 million tonnes, but sought to reassure markets that there
would be no repeat of the decision in Aug. 2010 to ban grain
exports due to a failed harvest that year.
* "French wheat was offered in the Egyptian tender on
Saturday at around $30 a tonne under U.S. wheat bids," a trader
said. "This shows EU wheat will be next in line to fill export
demand as Russian supplies sell out."
GERMANY
* German prices were catching up with falls in Paris late on
Friday, with belief hardening that Germany has gathered a good
harvest of satisfactory quality also a weakening factor.
* Standard milling wheat for September delivery in Hamburg
was offered for sale down 4 euros at 265 euros a tonne with
buyers at around 264 euros.
* "We are still holding about 5 euros over Paris," one
dealer said. "The weekend weather was rainy and cool so the
final stages of the wheat harvest are not quite finished but
should be in the next couple of days."
* "I think most people now believe Germany has managed to
achieve a good harvest of satisfactory quality after a lot of
worries about late rain damage."
* Germany's own harvest outlook changed greatly after a
burst of sunshine enabled very fast progress to be made after
repeated rain had delayed the harvest start.
* Germany will harvest 22.8 million tonnes of wheat this
year, slightly up on the 2011 crop of 22.7 million tonnes,
Germany's leading grain trading house Toepfer International said
on Thursday.
* "The market remains well supported by the U.S. and Russian
crop worries and the likelihood of more export demand being
switched to Germany and France," a trader said. "There is also
talk the British crop is not as good as reported."
* "Several other small players such as Serbia and Croatia
are also thought to have had poor crops which will take export
supplies out of the international supply balance."
* Prices at 1618 GMT

Product Last Change Pct Move End
2011 Ytd Pct

Paris wheat 258.00 0.00 +0.00
195.25 32.14

Paris maize 254.75 -1.00 -0.39
197.25 29.15
Paris rape 517.00 -2.75 -0.53
421.50 22.66
CBOT wheat 863.00 -4.50 -0.52
671.25 28.57
CBOT corn 806.25 -2.25 -0.28 654.75
23.14
CBOT soybeans 1718.50 -13.00 -0.75
1207.75 42.29
Crude oil 94.91 -1.24 -1.29 98.83
-3.97
Euro/dlr 1.2514
* All grain and oilseed prices for second position.
Paris futures prices in Euros per tonne and CBOT in
cents per bushel.

(Reporting by Michael Hogan; editing by William Hardy)