Wheat futures fell nearly one percent in American trade away from the highest since late July, as the dollar index rebounded from December 17 lows, following earlier data from the US, the world's largest wheat exporter.
As of 08:58 GMT, wheat futures due on May 15 fell 0.79% to $4.7150 from the opening of $4.7525, while the dollar index rose 0.61% to 89.14 from the opening of 88.59.
Earlier US data showed housing starts rose 9.6% to 1.326 million in January, compared to a 6.9% drop to 1.209 million in December, beating expectations of a 3.5% rise to 1.234 million units.
Building permits rose 7.4% to 1.396 million, compared to a 0.2% dip to 1.300 million, while analysts expected a 0.7% dip to 1.290 million.
US import prices rose 1.0% in January, up from a 0.2% rise in December, and beating forecasts of 0.6%.
University of Michigan released its consumer sentiment survey for February, showing a rise to 99.9 from January's 95.7, beating expectations of a dip to 95.4.
The economic conditions gauge in the same survey rose to 115.1 from 110.5 in January, while economic outlook rose to 90.2 from 86.3.
The US Department of Agriculture released its monthly report on wheat inventories for the marketing year ending next May 31, forecasting 1,009 million bushels, up from 989 million in January forecasts, as exports projections fell to 950 million from 975 million.
As well, the USDA reported total wheat sales in the week ending February 8 at 311.1 thousand tonnes, down 21% from the previous week, and down 2% from the four-week average, as analysts expected between 200 and 400 thousand, with Japan at the top of the buyers list with 84.4 thousand tonnes, followed by Indonesia at 83.3 thousand.
Then Taiwan at 78.5 thousand, then Mexico, China and Guatemala at 58.7 thousand, 33.0 thousand, and 31.5 thousand tonnes respectively, while unknown buyers accounted for 130.5 thousand tonnes.