CBOT wheat heads higher on dryness concerns, Russian crop estimate

CHICAGO, March 10 (Reuters) - Chicago Board of Trade wheat futures closed higher on Monday, as traders are tracking dry forecasts in the U.S. wheat belt and Russia lowered its wheat crop estimate, traders said.

• Traders were keeping a close eye on concerns about dryness in U.S. and Russian crop belts - particularly in parts of the Plains, where hard-red wheat crops are growing and will need moisture.

• But market analysts said worries about the impact of U.S. tariffs still hung over the market.

• CBOT May soft red winter wheat WK25 settled up 11-1/4 cents at $5.62-1/2 a bushel.

• The most-active wheat contract on a continuous basis Wv1 earlier in the session touched the highest price seen since February 28.

• K.C. May hard red winter wheat KWK25 ended up 13-3/4 cents at $5.78-1/2 a bushel, while Minneapolis May spring wheat MWEK25 settled up 11-3/4 cents at $6.04-1/2 a bushel.

• A lack of rain forecasts in top wheat producing regions also gave wheat futures a boost, said Ben Buckner, AgResource Co grains and dairy analyst.

• While this isn't typically the time of year that weather will severely damage crop production, a lack of moisture can affect yields, Buckner said.

• Traders also spent the day positioning ahead of Tuesday's monthly global supply-and-demand report.

• While this report is typically a quiet one, traders said they will be keeping a close eye on how USDA adjusts its data to reflect trade policies in place when the forecasts for grains and soybeans are issued.