December wheat was up 7 1/4 cents late in the overnight session. Outside market factors look mostly positive today with a weaker US dollar and strength in energy and other commodity markets. September wheat deliveries came in at 61 contracts this morning, which pushed month-to-date deliveries to 3,423. Without help from corn and outside market forces, the wheat market saw significant selling pressures yesterday, and December wheat pushed to its lowest level since August 19th. Traders see a hefty soft red winter wheat ending stocks outlook as a key negative force, plus increased competition for exports from the Black Sea region. Trade estimates for Stats Canada July 31st stocks report, for release today, are at 6.2 million tonnes, down from 7.8 million last year. December wheat saw a bounce off of the mid-session lows along with the corn market, but it still closed moderately lower on the session yesterday. Weakness in most other commodity markets and the sensitivity of wheat to currency fluctuations helped to pressure. The surge higher in the US dollar to its highest level since mid-July along with weakness in other grains, weakness in energy and equity markets and weakness in other commodity markets helped pressure. Weekly export inspections, released during the session yeasterday, came in at 21.156 million bushels, which was near the low end of trade expectations. Cumulative exports have reached 25.9% of the USDA forecast for the season, compared with the 5-year average for this time of the year at 27.4%. Ukraine has decided to maintain their export taxes through the end of the year. Ukraine harvested near 22.2 million tonnes this year and could export near 10 million tonnes as compared with a crop near 16.8 million last year and exports of 4.2 million. Just after the close, Egypt announced another optional-origin tender, and traders will monitor results this morning. The French farm ministry pegged wheat production at 33.5 million tonnes, up from last month's estimate of 32.5 million but still down 6.1% from last year. The weekly Crop Progres reports showed that 68% of the US spring wheat crop was now harvested as of Sunday, compared to 50% last week and 74% last year. The 10 year average for this time of year is 77%.
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