Bullish news: Wheat deliveries are bullish with 3,000 contracts delivered last week. World wheat production estimates have fallen to 642 million tons. That number will keep wheat supply tight for the remainder of this year.

Weekly export sales were huge 1.6 million tons exceeding all expectations. U. S. ending stocks down to 900 million bushels.

Bearish news: Trader profit taking has reduced wheat prices significantly. Without large U.S. export sales, prices may continue lower. Weekly export inspections over 22 million bushels were down from 27.5 million last week but 24 million weekly are needed to meet USDA projections.

U.S. harvest is 76 complete (80 percent is average) adding harvest pressure to prices.

Russia has rain that encourages winter wheat planting. The ban on Russian exports is now resolved to include the 2011 crop. That could change is ample winter wheat production relieves inflation. Canadian wheat supplies are much higher than anticipated.

French wheat is underselling U.S. wheat in North Africa. Egypt and Morocco bought large quantities of French wheat. French sales up 40 percent at 1.3 million tons. World ending stocks are projected at 3 million tons.