December wheat opened 19 cents lower on the day at 845 3/4 and established an early range of 841 to 858. Today's lower open was mostly in line with expectations, unlike soybeans which opened higher than expected. Improved weather for developing wheat crops in Argentina and Australia was said to be a source of pressure in the market this morning and the contrast between improved weather in those countries and continued dryness in the US Midwest is thought to have kept wheat lower into mid session while soybeans managed a brief rally to slightly higher on the day. Forecasts in Canada are frost-free for the next week which may also be weighing on prices. Their crops are also late this year and therefore vulnerable to early frost. Reports today indicate that Ukraine's wheat crop may be only 11% milling quality, even lower than was indicated a week ago which is expected to divert further export business to the US where quality levels are high for this year's crop. Reports yesterday from Germany indicated a much larger EU wheat crop than has been forecast by the USDA, but there are also expectations of a higher than usual percentage of feed quality wheat in both Germany and France. The strong dollar and bumper supply of soft wheat in Europe is expected to shift some export demand from the US to the EU in coming weeks. Basis levels for wheat were mostly steady in the interior this morning.