December wheat finished 3 1/4 cents higher overnight. The dollar was lower.

Wheat made new lows for the move again yesterday in the December contract and closed near its lows. Fund selling was evident again as funds appear to be continuing a long-standing pattern of selling in Chicago wheat. Overnight the markets were somewhat higher in a very narrow range. Harvest weather was dry overnight in most of the remaining areas still to be harvested to soft red wheat with more dry weather expected into at least mid week. The weekly Winter Wheat Harvest report showed that 71% of the harvest is complete compared to 62% last week and 78% last year. The 10 year average for this time of year is 82%. The weekly Spring Wheat Conditions report showed 63% of the crop was rated good/excellent compared to 61% last week and 75% last year. The 10 year average for this time of year is 62%. Export inspections were very strong for wheat on yesterday's report, continuing an upward trend and nearly equaling corn inspections in the process. The soft red wheat basis weakened again yesterday in most locations other than the Pacific NW. It remains near historic lows.

Dry weather with temperatures in the 80s is expected across most hard red harvest areas through Saturday. The exception may be Thursday when we see a narrow north-south band of showers running the length of the Plains. Soft red harvest areas should be dry through the weekend. A rain system is expected in Indiana and Ohio on Saturday, but there should be little harvesting left to do in those areas by then. Western spring wheat growing areas may see scattered rains tomorrow with better rains this weekend and into Monday. Algeria is tendering for 50,000 tonnes of wheat. Syria is tendering for 120,000 tonnes of soft wheat, the first major buying tender in 15 years by that country. Jordan issued a tender for 100,000 tonnes of wheat late last week. Oman is in for 120,000 tonnes at the end of July. Pakistan is tendering for 250,000 tonnes of wheat to boost buffer stocks.