My guess as to why it's ulfuR and not ulfR, is that the inscription is Proto-Norse and not Old Norse... it's a transitional period from the original proto-Germanic "wulfaz" to the Old Norse "úlfr". In Proto-Norse it could have been "ulfaR". Since there was never a perfect system of how each word was spelt in runes, it seems plausible to me that the "ur" rune was used for the "a" sound in ulfaR.
 
My comments... well I know that it was commonly believed that elves were the mischievous creatures who bestowed upon man various minor ailments, colds, stitches, pins and needles... so it doesn't sound so impossible that the carver or the person the carver was making the inscription for was in some pain which at the time was believed to have been caused by a dwarf. After all... the dwarves are also known as being a type of elf. :) Svartálfar... dark elves. So, somebody is in some pain, and he has carved himself a magic runestone to ease the pain, or at least asked a seiðmaðr to do so for him. Three powers are called upon... The wolf, Óðinn and High-Týr... (since Týr means only "god", and Óðinn is regularly known as "the High One"... it seems that it could be another name for Óðinn... and with his association with wolves, (his hunting companions Geri and Freki for example) it could be that all three are names for Óðinn.
 
It's a lovely inscription though. Not seen many from the Proto-Norse period myself... it's interesting to see the runes changing from Elder Fuþark to Younger. :) Thanks for sharing!
-Sveinn