March Wheat finished down 1 3/4 at 482 1/4, 6 1/4 off the high and 5 1/2 up from the low. July Wheat closed down 1 1/2 at 510. This was 5 1/2 up from the low and 5 1/2 off the high.

The wheat market started higher today in line with strength in corn, soybeans, crude oil and equities which were credited to a lower dollar. However, wheat quickly sold off from the early highs with the May contract spending the remainder of the day trading sideways below yesterday's close. Wheat managed to trim its losses late in the session with traders crediting the modest recovery to short covering by spreaders and other specs. This followed the latest USDA supply/demand report this morning which traders viewed as slightly negative. The USDA raised its projection of US all-wheat ending stocks to 981 million bushels from 976 last month. Traders had been looking for a decline of about 2 million bushels. The increase was the result of an upward revision of US wheat imports by 5 million bushels. The USDA raised soft red wheat (Chicago wheat) ending stocks to the highest level in at least the last three decades to 203 million bushels from 196 million last month. On the world report, ending stocks were raised fractionally to 195.86 million tonnes from 195.60 last month. World production was increased marginally to 677.44 million tonnes versus 676.13 million last month. This was mainly due to a 1 million tonne increase in the Argentine wheat crop to 9.0 million tonnes from 8 million last month.

March Oats closed down 1 at 230. This was 1 3/4 up from the low and 4 1/4 off the high.