July wheat was trading 1 3/4 cents lower late in the overnight session. Outside market forces look negative today with a jump in the US dollar and weakness in metal and energy markets. The market may be done following corn as a key indicator for direction as the market shifts away from a feedgrain back to a food grain for the coming season. This will only occur if there is a big corn crop. Some light crop concerns and the outlook for declining US and world ending stocks for the 2012/13 season has helped to provide support this week. The China National Grains and Oils Information Centre sees China wheat production up 2% this year to the second highest crop on record. Even with the high crop, China imported 1.12 million tonnes in the first quarter of 2012 which is almost as high as the total for 2011. Ukraine officials believe July 1st grain stocks could be a record high 12 million tonnes as compared with 5.1 million last year do to slow exports. A hot weather forecast for western Kansas just ahead and ideas that recent rains may not have been enough to avoid some further deterioration of winter wheat crop conditions helped to support the strong gains yesterday. Crops rated good to excellent in Kansas slipped to 52% from 60% last week and traders see this as a factor which might have sparked active short-covering. Spring wheat plantings reached a record fast 94% from 64% on average. Short-covering seemed to be the primary bullish force yesterday as some potential weather issues in the Black Sea region, China and Kansas have helped to provide underlying support. However, all of these areas have received some rains recently. Morocco plans to keep import duties on wheat suspended until the end of May as the country hopes to see active imports to make up for a grain crop of just 4.8 million tonnes, down 43% from the previous year.