Add the first 8 ingredients to a 1-1/2- or 2-pound bread machine according to the manufacturer's directions. Select the dough cycle. When cycle is complete, remove dough from the machine. Punch down. Cover and let rest for 10 minutes.
Remove one-fourth of the dough; cover and set aside. Divide the remaining dough into 30 portions. Using lightly floured hands, shape each portion into a smooth ball. Arrange on a greased baking sheet in the shape of a bunch of grapes. In a small bowl combine the egg yolk and 1 teaspoon water; brush some over dough. Sprinkle with poppy seed.
On a lightly floured surface, roll the reserved dough into an 8x4-inch rectangle; cut in half crosswise. Cut each square in half diagonally to form grape leaves. If desired, score leaves to resemble leaf veins. Place leaves on top of the widest end of bunch of grapes. Brush the leaves with remaining egg yolk mixture. Cover and let rise in a warm place for 30 to 40 minutes or until nearly double.
Bake in a 375 degree F oven for 20 to 25 minutes or until bread sounds hollow when lightly tapped. If necessary, loosely cover with foil last 5 to 10 minutes to prevent overbrowning. Remove; cool on a wire rack.