Chicago wheat futures eased slightly on Thursday with a stronger dollar helping to keep a lid on prices despite lower-than-expected U.S. crop ratings.

Sluggish demand and expectations that a strong Northern Hemisphere harvest will keep the market well supplied also weighed on the market.

The rise in the dollar was triggered by a U.S. federal court blocking President Donald Trump's "Liberation Day" tariffs from going into effect.

A stronger dollar makes U.S. farm exports costlier for buyers with other currencies.

The most active wheat contract on the Chicago Board of Trade (CBOT) was down 0.2% at $5.29-1/4 a bushel at 1032 GMT.

The USDA on Tuesday rated only 45% of U.S. spring wheat in good to excellent condition, far below expectations, and showed a decline in the condition of U.S. winter wheat.

A coming flip to better weather should help the young wheat crop but the low rating sets the scene for market scares if unfavourable weather patterns set in, wrote Reuters columnist Karen Braun.

Elsewhere, crop news has been better. The European Commission on Wednesday slightly raised its forecast for usable production of common wheat in the EU in 2025/26.

A strong wheat harvest in India is rapidly replenishing stocks, meaning the country won't need to import.

While wheat stocks should rise in India, they won't in the rest of the world, analysts at Rabobank said, predicting CBOT prices would rise towards $6 a bushel over the course of 2025.

"A big question mark is whether India could allow some exports," Rabobank said. "If India opens the export gates or Russian output ends up being bigger than expected following mild spring weather, we could see prices capped."

CBOT corn prices were also lower, slipping 0.8% to $4.47-1/2 a bushel, while soybeans rose 0.2% to $10.50-1/2 a bushel.

Jordan's state grains buyer has issued an international tender to purchase up to 120,000 metric tons of animal feed barley, European traders said on Thursday.

(Reporting by Nigel Hunt in London and Peter Hobson in Canberra; Editing by Rashmi Aich and Maju Samuel)