July wheat was trading 4 1/2 cents higher late in the overnight session. Outside market forces look mixed with sluggish trade for energy and metal markets. The short-term weather concerns and the tightness in other grains may provide some short-term support for the wheat market. However, short-covering and cold weather fears have limited longer-term impact and if there is no serious cold weather damage this weekend, the supply outlook is improving. Traders see good rains for the plains for the next few weeks and less dryness concerns for Europe and Eastern Europe ahead. This could help boost US crop conditions. July wheat was trading just slightly higher late in the session yesterday but a late buying spurt sparked a rally to new highs for the day late and a 9 cent higher close. Uncertain weather factors helped to support the early bounce and short-covering emerged to see moderately higher trade. High temperatures in parts of Ukraine and in the southern plains of the US plus cold weather in the eastern Corn Belt helped to support. Temperatures in northern Texas wheat areas were well above 100 degrees to as high as 110 degrees and this had traders concerned for yield losses. Weekly export sales came in at 386,700 metric tonnes for the current marketing year and 357,300 for the next marketing year for a total of 744,000. Sales of 32,000 metric tonnes are needed each week to reach the USDA forecast. The International Grain Council lowered their world production forecast by 5 million tonnes to 676 million tonnes as compared with 695 million last year. Iraq bought 300,000 tonnes of wheat which traders thought was from Australia, Canada and Kazakhstan.