"The rise of the dollar is weighing in Chicago, stock markets are down and so are oil prices so there is profit taking," Alexandre Marie, analyst with Offre & Demande Agricole said, noting that prices had risen for several days in a row. Major world stock markets saw their biggest one day falls in about three months on Tuesday on worries about a global economic growth slowdown and doubts about the success of the Greek debt restructuring due by Thursday. May milling wheat on the Paris-based futures market was 2.00 euros or 1 percent lower at 209.50 euros a tonne by 1700 GMT. Front-month March, which had risen more than May the previous day with some operators covering short positions ahead of a delivery notice deadline, saw a bigger setback on Tuesday, down 1.4 percent at 217.50 euros a tonne. US grains futures pared some of their losses, with soy prices in a positive zone, supported by about the size of Brazil's soy crop. They had fallen sharply in early trade, with wheat shedding about 2 percent, under pressure from a stronger dollar and a broad-based fall in commodity markets linked to renewed economic concerns. Dealers keenly awaited a US Department of Agriculture monthly report due on Friday, with analysts and traders expecting an increase in estimates for US soybean exports and a downward revision in the South American crop. "We'll see some consolidation ahead of the USDA report which should give a new trend on sensitive issues such as corn use in ethanol and Latin American crops," Marie said. A severe cold spell a month ago damaged wheat in eastern France but appears to have had more limited impact on the crop elsewhere in western Europe, where attention is now turning to the risk of dry weather cutting yields in this year's harvest. Feed wheat futures in Britain were lower with May off 1.30 pounds or 0.8 percent at 166.50 pounds a tonne. Dealers said heavy rains over the weekend should prove beneficial for UK crops which were generally progressing well. "The weekend brought a welcome soaking in many dry areas across the UK," Frontier Agriculture said in a market note. Prices in Germany also fell with standard quality milling wheat for March delivery in Hamburg was offered for sale down two euros at 215 euros a tonne with buyers at around 213 euros but with purchase offers sometimes rare. "Demand from mills remains depressed as they are buying only hand-to-mouth because of retail price pressure on flour prices," one dealer said. Demand from animal feed producers kept German feed wheat prices close to milling wheat in parts of the country, repeating a pattern seen in past weeks. Feed wheat for nearby delivery in the South Oldenburg market near the Netherlands was offered for sale at 215 euros a tonne with buyers at around 212 euros.