GRAINS-Chicago grains slip again as USDA data, trade worries weigh

By Gus Trompiz and Naveen Thukral

PARIS/SINGAPORE, March 12 (Reuters) - Chicago corn, wheat and soybeans extended losses on Wednesday after a government crop report showed more ample U.S. supplies than expected, while the latest U.S. tariffs and European counter-measures fuelled concerns about trade disruption.

The most-active soybean contract on the Chicago Board of Trade Sv1 was down 0.9% at $10.02 a bushel by the end of the overnight trading session, on course for a fourth daily fall.

CBOT corn Cv1 was down 1.9% at $4.61-1/4 a bushel, while CBOT wheat Wv1 shed 0.4% to $5.54-1/2 a bushel, with both cereals falling for a second day.

In a widely followed monthly report on Tuesday, the U.S. Department of Agriculture kept unchanged its supply and demand outlook for U.S. corn, disappointing traders who had anticipated brisk exports could lead the USDA to cut projected stocks.

The agency also raised its forecast for U.S. wheat stocks by more than expected.

The report failed to offer support to a market that has been curbed by fears that U.S. President Donald Trump's flurry of tariff announcements may hurt economic growth and U.S. exports.

Increased tariffs on all U.S. steel and aluminium imports took effect on Wednesday. The European Union quickly announced counter-tariffs on up to 26 billion euros ($28 billion) worth of U.S. goods from next month while a Canadian official said Ottawa will announce C$29.8 billion ($20.7 billion) in retaliatory tariffs on Wednesday.

Traders said there was concern about the potential impact on U.S. corn and soybean exports to the EU, after China already shifted towards South American supplies following a tariff battle during Trump's first term.

Brazil's soybean exports are expected to reach 15.45 million metric tons in March, up more than 4% compared with last week's forecast, as the country continues to harvest its massive new crop, according to data from the grain exporters lobby Anec.

"Soybean supplies are pretty comfortable if you look at the Brazilian crop which is entering the market," said one trader in Singapore.

The wheat market is watching for results from an import tender by Algeria on Wednesday.

Traders said it was unclear if a Russian missile strike that damaged a vessel loading wheat for Algeria at Ukraine's Odesa port might affect the outcome of the new tender.