Euronext wheat futures ease as euro strengthens

LONDON, Aug 15 (Reuters) - Euronext wheat futures fell slightly on Friday, weighed down by a firmer euro, although prices remained above contract lows set earlier this week.

September wheat BL2U5 on Paris-based Euronext settled 0.8% lower at 195.50 euros ($228.77) a metric ton, slipping back towards a contract low of 192.50 euros struck twice this week.

December futures BL2Z5 ended 1.1% lower at 195.25 euros a ton after setting a contract low of 194.25 euros on Wednesday.

Dealers said modest gains in Chicago wheat futures Wv1 were offset by a strengthening in the euro against the dollar EUR=EBS as the market awaited talks on Ukraine in Alaska between Donald Trump and Vladimir Putin.

Most analysts expect Europe's single currency to benefit from any ceasefire deal in Ukraine.

A public holiday on Friday in some European countries, including France, added to a summer lull in trading.

Britain's government said on Friday it will not provide support for the ailing bioethanol industry, which is facing imminent collapse after being hit hard by the UK's tariff deal with U.S. President Donald Trump.

Dealers said this should curb demand for wheat.

The U.S. Department of Agriculture earlier this week estimated UK wheat consumption at 15.5 million metric tons.

"From a demand point of view, a reduced need for bioethanol production will see final numbers well below the USDA estimate," Frontier Agriculture said in a weekly update.

($1 = 0.8546 euros)