Okay, funny thing - the problem solved itself! I continued to have the problem until yesterday, when I used the tractor to run a rock picker that we have. The rock picker is a rake-type picker that is solely hydraulically driven - one set of hydraulics runs a rock rake, another raises and lowers the rake, and another dumps the hopper. I was actually curious if the 7040 could run it, because it is a pretty big machine and normally we pull it behind a 90 hp John Deere. This is the first time the hydraulics on the 7040 had gotten a real workout, and it did seem like it was a little underpowered. Whereas the JD could drive the rake at a good speed even at idle, I found that I had to rev the Kubota almost to 2000 rpm in order to achieve the same speed on the rake, and the Kubota wasn't able to run the rake and raise it at the same time (something that the JD can do).
As I mentioned in my previous post, I had managed to avoid the screeching at idle by leaving the shuttle in forward and putting the gear shifter in neutral, though sometimes I would forget and would always get the screech. Well, after picking rocks for a few hours, I suddenly realized that the screech wasn't happening anymore. So far, after another 5 hours of tractor work, no screech.
I don't know enough about hydraulics to have a clue about why it stopped. Any thoughts? I will say that since the Kubota has only two rear remotes, I had to switch out hydraulic hoses every time I needed to dump the hopper (about 8 times), and of course lost a little fluid each time I switched. Could the loss of a little bit of fluid have done anything?
On a related note, is it possible to damage the hydraulic system by running something too big for it? Many thanks for your previous replies.