The World Agriculture Supply and Demand Report, released Tuesday, predicts U.S. corn production will fall 1.45 billion bushels to 13.7 billion, according to a report by the National Association for Farm Broadcasters. The national corn production forecast continues to come in lower than expected due to a wet spring.

Farmers are making progress on planting, but Department of Agriculture Crop Progress numbers show roughly 15.8 million acres of corn and 33.6 million acres of soybeans remain unplanted.

USDA has so far left the soybean forecast unchanged, with "several weeks remaining in the planting season."

In its latest report, USDA raised the expected season-average corn price to $3.80 a bushel and the season-average soybean price to $8.25 a bushel.

Meanwhile, Agriculture Secretary Sonny Perdue confirmed this week that prevent plant acres could not be included in the Market Facilitation Program. However, Perdue said USDA is "exploring legal flexibilities" to provide a minimal per-acre payment to farmers who filed prevent plant and chose to plant an eligible cover crop. Perdue said USDA will provide more details "in the coming weeks."

The Market Facilitation Program, which is intended to relieve stress on farmers caused by ongoing trade disputes as the president renegotiates existing trade alliances, is currently under review by the White House Office of Management and Budget.