Updates with European trading, adds PARIS dateline

PARIS, June 5 (Reuters) - Chicago corn and soybean futures fell for a sixth session to hold around multi-month lows on Friday, as favourable supply prospects weighed on prices.

Wheat, however, edged higher after a five-session slide also linked to a comfortable global supply outlook.

The most-active corn contract Cv1 on the Chicago Board of Trade was down 0.9% at $4.20-3/4 a bushel by 1134 GMT, after hitting its lowest since January 16.

CBOT soybeans Sv1 ticked down 0.2% to $11.26-3/4 a bushel, holding near a four-month low struck on Thursday. CBOT wheat Wv1 was up 0.2% at $5.83 a bushel, after hitting its lowest in nearly two months.

Benign weather forecasts for U.S. corn and soybean crops have encouraged investment funds to cut long positions. Favourable harvest prospects in South America have added to supply pressure.

A lack of Chinese buying of U.S. crops since a May summit, at which Washington said Beijing committed to purchase an additional $17 billion worth of U.S. agricultural goods per year, has also dented sentiment.

"Ultimately ... U.S. prospects in China remain subdued, with Brazil retaining a pricing competitive advantage," BMI analysts said in a note referring to soybean trade.

Traders are also concerned that the latest U.S. tariffs proposed in relation to a probe over forced labour could undermine the agricultural trade commitments between Washington and Beijing.

"We expect that once grain traders understand that China has not changed its purchase commitment from the U.S., CBOT grain prices will recover," analysts at AgResource Co said, however.

A first case of New World screwworm, a flesh-eating parasite, on a U.S. farm in decades has also created concern about a potential drag on livestock feed demand if the outbreak spreads.

In wheat, news that a sea drone self-detonated at Romania's Black Sea port of Constanta and a further decline in French crop conditions following a late-May heatwave helped U.S. and European futures to steady.

"There's some Friday profit-taking and the French ratings aren't great, so the market being up makes sense," a European trader said.

However, rain relief in parched U.S. wheat belts and rising expectations for this year's harvest in top exporter Russia hung over the market.

Investors were awaiting broader direction from monthly U.S. jobs data on Friday, which can sway the dollar and have a knock-on effect on U.S. commodities. MKTS/GLOB

Prices at 1134 GMT
	Last	Change	Pct Move
CBOT wheat Wv1	583.00	1.25	0.21
CBOT corn Cv1	420.75	-3.75	-0.88
CBOT soy Sv1	1126.75	-2.75	-0.24
Paris wheat BL2c1	201.50	0.25	0.12
Paris maize EMAc1	210.00	0.00	0.00
Paris rapeseed COMc1	523.00	0.00	0.00
WTI crude oil CLc1	93.50	0.46	0.49
Euro/dollar EUR=	1.16	0.00	0.25
Most active contracts - Wheat, corn and soy U.S. cents/bushel, Paris futures in euros per metric ton.