GRAINS-Corn heads for biggest weekly gain since May 2023

CANBERRA, April 11 (Reuters) - Chicago corn futures rose on Friday and were on track for their biggest weekly gain in nearly two years after U.S. President Donald Trump paused some of his tariff increases and the U.S. Department of Agriculture (USDA) tightened its supply outlook.

Soybean futures fell slightly but were still set to end the week about 5% higher after delays to U.S. tariffs and European Union's counter-tariffs eased concerns over U.S. crop exports. A weak U.S. dollar also lent support.

Wheat futures gained and were headed for a much smaller weekly increase after the USDA raised its estimate of U.S. wheat ending stocks.

Soybeans and wheat are almost back to their levels at the start of the month, before Trump's barrage of tariff announcements, while corn is significantly higher.

FUNDAMENTALS

* The most-active corn contract on the Chicago Board of Trade (CBOT) Cv1 rose 0.3% to $4.84-1/2 a bushel at 0036 GMT and gained 5.2% this week, its biggest weekly gain since May 2023.

* CBOT soybeans Sv1 fell 0.3% to $10.26-1/4 a bushel but their 5% weekly gain was still the steepest since September 2024.

* Wheat Wv1 rose 0.3% to $5.39-1/2 a bushel and was up 1.9% from last Friday's close.

* The U.S. dollar index was trading at its weakest since July 2023, making U.S. farm goods more competitive in the global markets. .DXY FRX/

* The USDA on Thursday said U.S. corn and soybean supply would be tighter than expected and lowered its 2024-25 U.S. corn ending stocks estimate to 1.47 billion bushels from 1.54 billion and its U.S. soybean stocks prediction to 375 million bushels from 380 million.

* Both estimates are below most analysts' expectations, according to a Reuters poll.

* The USDA also reduced its estimate for global end-of-season corn stocks but raised its estimate for global soybean stocks.

* The department's numbers support an argument that nearby CBOT corn futures could strengthen even further, wrote Reuters columnist Karen Braun.

* Brazil's national crop agency slightly raised its forecast for 2024-25 Brazilian soybean output and an industry consultant said a rush of sales means Brazilian farmers have already sold more than half of their crop.

* Persistent rainfall in Argentina's agricultural heartland is delaying the soybean harvest there, the Buenos Aires Grains Exchange said.

MARKETS NEWS

* Major stock indexes and the U.S. dollar dropped on Thursday, with the S&P 500 ending more than 3% lower as investors remained skittish a day after U.S. President Donald Trump's move to temporarily lower tariffs on many countries caused a massive relief rally. MKTS/GLOB