July wheat was trading 7 cents higher late in the overnight session. Outside market forces look negative today with weakness in global equities, weakness in metal and energy markets and a firm US dollar. There were no deliveries this morning against the May wheat with the total for the month at 55. The market seemed to run out of new interested sellers on the break yesterday and the inside trading day after a move to a new low was seen as a positive technical development. Short-covering, talk of a slight deterioration of winter wheat conditions and strength in corn helped support the bounce overnight. For the report on Thursday, traders see winter wheat production near 1.64 billion bushels as compared with 1.494 billion last year. All wheat production is expected near 2.195 billion bushels as compared with 1.999 billion last year. For ending stocks for the 2011/12 season, traders see stocks near 780 million bushels as compared with 793 million posted in the April update. For the 2012/13 season, traders see ending stocks near 785 million bushels but with a range of near 600-925 million bushels. The weekly Spring Wheat Planting report showed that 84% of the crop is planted compared to 74% last week and 19% last year. The 10 year average for this time of year is 56%. This matched the previous highest percent complete at 84% in 1988. The weekly Winter Wheat Conditions report showed 63% was rated good/excellent compared to 64% last week and 33% last year. The 10 year average for this time of year is 48%. South Korea seeks 46,000 tonnes of milling wheat. July wheat closed moderately higher on the session yesterday and up sharply from the early lows. Bearish outside market forces helped to pressure early and weakness in corn and soybeans added to the negative tone. Ideas that USDA reports on Thursday could bring some bearish supply news plus more rain in the forecast for the southern plains helped to pressure. Selling was limited by news from the COT report on Friday of a short-covering trend last week from fund traders who still held a hefty net short position. Weekly export inspections came in at 24.07 million bushels which was higher than expected and compares with just 16 million necessary each week to reach the USDA projection. Wheat stocks in Canada on March 31st fell to 14.5 million tonnes which at the low end of expectations and compares with 15.8 million tonnes last year. The rally in the corn market to higher on the day helped spark some short-covering.