May wheat was trading 1 3/4 cents lower late in the overnight session. Outside market forces look slightly negative today with a stronger US dollar and some light weakness in metal and energy markets. Talk of more Black Sea offers to sell wheat this week plus weakness in corn helped to drive the market sharply lower into the mid-session yesterday. Ideas that the Outlook Forum at the end of this week will also show burdensome world and US ending stocks for the coming season has added to the negative tone. Trade focus is beginning to shift to weather and soil conditions as March weather is sometimes critical to the yield outlook for US winter wheat. Texas crops rated good to excellent came in at 32% this week from 29% last week. Crops rated poor to very poor came in at 36% from 40% last week as the crop continues to improve. Ideas that US wheat is competitive on the world market has helped to provide underlying support. May wheat closed sharply lower on the session yesterday but managed to bounce off of the mid-session lows. Even with a sharp break in the US dollar and a surge in gold, crude oil and other commodity markets, wheat futures followed the corn market sharply lower on the day. News of rain over several key US growing areas helped to pressure. Weekly export inspections came in at 22.15 million bushels which was above trade expectations. Exports need to average 15.9 million bushels per week to reach the USDA projection for the year. Algeria is tendering to buy 125,000 tonnes of optional origin milling wheat. July wheat rallied 11 1/2 cents off of the mid-session lows but still managed to close moderately lower on the day. The mid-session lows were the lowest since January 20th. Ukraine's Agriculture Minister overnight indicated that grain production this year will reach 42 to 50 million tonnes which will include 15-16 million tonnes of wheat. Production last year was a record high 56.7 million tonnes with 22.3 million tonnes for wheat. He also indicated that the government had not urged grain traders to limit wheat exports. Bangladesh is tendering to buy 50,000 tonnes of wheat.