Daily review on soybean meal: US soybean prices plunged last night, accordingly, soybean meal pares gains mildly today in DCE and domestic soybean meal spots are weighed down with futures. Soybean meal prices in coastal areas range from 2,900 to 3,020 yuan/tonne, a drop of 10-20 yuan/tonne against yesterday(Tianjin prices 3,060 yuan/tonne, Shandong 2,930-3,020 yuan/tonne, Jiangsu 2,920-2,930 yuan/tonne, Dongguan 2940-2950 yuan/tonne, Guangxi 2,910-2,930 yuan/tonne, where USD $1=CNY 6.611). Soybean crush last week began to gain as technical callback came after soaring US soybeans, yet soybean crush will continue to soar in the following two weeks, which will significantly slow down consumption of soybean meal stocks. Port stocks of soybean meal are 0.78 Mln tonnes this week, a tad below last week, but up 45.80% over the same period last year. Turnover of soybean meal spots of high price is capped by cold air, poor demands for aquatic products in north and typhoon "Khanun" in south, meantime delivery on soybean meal are also slowed down, which further restrain the consumption of soybean meal spots. Overall, slight drops on the price will come about in a short run, but insufficient supplies of soybean meal in northern areas has not yet eased, especially in Hebei and Shandong, such being the cases, soybean meal will keep strong amid strong sentiment of oil factories to hold out high prices. Practically, buyers can hold a wait-and-see attitude today.

  

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal are mixed, among which prices in coastal areas stand at 2,340-2,420 yuan/tonne with a drop of 10 yuan/tonne over yesterday(Guangxi offers 2,340 yuan/tonne, with a decline of 10 yuan/tonne; Guangdong 2,420 yuan/tonne, down 10 yuan/tonne; Fujian 2,350 yuan/tonne, where USD $1=CNY 6.611). Yet, fluctuations on rapeseed meal may be impressive when dwindling demands in the downstream are obvious by decreasing outstanding contracts and striking lower prices and massive supplies of soybean meal to replace rapeseed meal amid tightened rapeseed meal stocks to bolster the market to some degree. 

    Daily review on fishmeal: today, offers for imported fishmeal remain steady, yet prices are negotiable upon transaction and shipments at ports are general. Northern ports: fishmeal price in Peru ordinary SD with 65% protein content is 9,300 yuan/tonne; 10,400 yuan/tonne for Japanese SD with 67% protein content; 10,700 yuan/tonne for super steam fishmeal with 68% protein content. Southern ports: fishmeal price for Peru ordinary SD with 65% protein content is 9,200 yuan/tonne; 10,200 yuan/tonne for Japanese SD with 67% protein content; 10,500 yuan/tonne for super steam fishmeal with 68% protein content, where USD $1=CNY 6.611. Port stocks: Hangpu has 73,000 tonnes, Fuzhou 36,000 tonnes, Shanghai 56,000 tonnes, Tianjin 1,000 tonnes, Dalian 5,000 tonnes, Fangchenggang 1,000 tonnes, and other ports 4,000 tonnes. Fishing: till October 8th, about 9,384 tonnes of fish have been caught in southern Peru in B season over 17 years, accounting for 1.82% of the total volume; fishing quota for this season is 515,000 tonnes, among which 50,5616 tonnes remain unfinished. Spots offers in foreign trading(FOB) remain stable, in detail, the fishmeal offer for Peru ordinary SD with 65% protein content stays at USD 1,350 $/tonne, USD 1,500 $/tonne for super steam fishmeal with 68% protein content; the offer in Chile ordinary SD with 65% protein content is USD 1,350 $/tonne, USD 1,460 $/tonne for excellent fishmeal with 68% protein content, all of which are shipments in N/D.

    Daily review on soybeans: today, prices for imported and distributed soybean remain firm, which settles at 3,430-3,460 yuan/tonne($519-$523) at mains ports. However, prices for imported soybeans is still overwhelmed by increasing new domestic soybeans in market. Generally, prices for imported and distributed soybeans have resilience to fall, in other words, prices will remain stable with strong momentum in a short term considering gradual reduction of soybeans stocks at Shandong ports and traders' sentiment to hold out for high prices. However, near-term slight fluctuations will come to US soybeans as robust export demands and weaker-than-expected soybean crushes are going to meet heavy rains in Brazil producing area in the following 11 or 15 days. With gradually increasing soybeans in market later, a potential bearing on imported and distributed soybeans prices may go forward.

    Daily review on oils: beans in US trading dropped last night due to profit taking, accordingly, oils in DCE today(on October 17th) suffer from stagflation where domestic soybean oil and palm oil remain stable, some of which meet slight fluctuations, yet turnover may be few. Generally, near-term slight fluctuations will come to US soybeans as robust exports and weaker-than-expected soybean crushes are going to meet heavy rains in Brazil producing area in the following 11 or 15 days. An average of 9 Mln tonnes soybeans will arrive at ports in November and December, additionally, soybean crushes are expected to be gained to 1.9-2 Mln tonnes in the next two weeks as soybean oil stocks have soared to a record high to 1.6 Mln tonnes, as a consequence, an overwhelming oversupply will drag down the oils market. Yet, it’s favorable for soybean oil stocks to be consumed when an average of 0.35-0.4 Mln tonnes imported palm oil arrive in October and November, about 50,000 tonnes less than expectation owing to upside down of the prices offered and the defaults in transaction. Overall, oil spots in a short term will suffer from fluctuations again, therefore, buyers are encouraged to wait and see for the time being, and replenish stocks upon steady but lower prices.

    Today's soybean oil: main prices for first-grade soybean oil in coastal areas stay at 6,060-6,160 yuan/tonne, part of which fluctuate by 10-20 yuan/tonne (Tianjin traders offer 6,090-6,100 yuan/tonne, Rizhao traders 6,060 yuan/tonne, Zhangjiagang traders 6,160 yuan/tonne, Guangzhou traders 6,070-6,080 yuan/tonne, where USD $1=CNY 6.611 ).

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,720 and 5,870 yuan/tonne(Tianjin traders offer 5,810-5,820 yuan/tonne; Rizhao traders 5,870 yuan/tonne; Zhangjiagang traders 5,850 yuan/tonne; Guangzhou 5,710-5,730 yuan/tonne; Xiamen 5,820 yuan/tonne with a drop of 10 yuan/tonne, where USD $1=CNY 6.611).

 

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil pick up steadily, among which prices for imported rapeseed oil in coastal areas stay at 6,570-6,770 yuan/tonne, some rising 30-70 yuan/tonne over yesterday(October basis for Maple in Fangchenggang, Guangxi reaches 1,801-170; Yinxiang in Xiamen, Fujian 1,801-150; Shenheng in Guangdong 1,801-180, where USD $1=CNY 6.611). Soybeans oil stocks have jumped to 1.6 Mln tonnes taking the priority in market in spite of gradually increasing palm oil stocks. Overall, rapeseed oil will continue its weak performance in a short term as demands are fragile after holidays.

    Daily review on corns: domestic corn prices today remain stable with slight fluctuations, where a steady decline goes to corn prices in North China but a slight increase at northern and southern ports. Main prices for corn acquisition in Shandong enterprises in deep processing stay at 1,660-1,760 yuan/tonne, some falling by 6-10 yuan/tonne over yesterday but most remaining stable. Main prices for corn acquisition in northeast enterprises which engage in deep processing stay at 1,450-1,570 yuan/tonne, most remaining stable. Corn prices at Jinzhou port, Liaoning are buoyant, and additionally, new corn prices in Liaoning and Inner Mongolia settle at 1,690 yuan/tonne, up 5 yuan/tonne against yesterday; 1,685 yuan/tonne for new corns in Heilongjiang; 1,370-1,420 yuan/tonne for corns with 30% moisture. Drying new corns with 14.5%-15% moisture from Liaoning and Jilin provinces at Bayuquan port price up to 1,670 yuan/tonne; Heilongjiang corns are 1,640-1,650 yuan/tonne, remaining flat over yesterday. Prices for second-class corns at Shekou port, Guangdong are raised to 1,790 yuan/tonne, up 10 yuan/tonne from yesterday; 1,830 yuan/tonne for one-class corns and 1,850 yuan/tonne for new corns with 10 yuan/tonne rise over yesterday, where USD $1=CNY 6.611. The supply of new corns edges up in the northeastern producing area, and meantime moist corns in N China are relatively abundant in supplies, which is not conducive to the storage. In fact, corn demands are quite general as most deep-processing enterprises maintain safe and low inventory levels and feed enterprises in most selling areas prefer to consuming corn in stocks. For the time being, offers for high-quality dry corns keep strong and corn prices at southern and northern ports pick up given harvest, drying and selling of new corns have been affected by heavy rains in Huang-huai area, N China. On the whole, corn prices have resilience to fall or will stabilize within a narrow range due to the unholy weather, yet once weather turns fine in October, as weather predicts, new corns are possible to price down when massive supplies in market later to overwhelm the prices.

    Daily review on sorghum and barley: today, prices for imported sorghum remain stable which settles at 1,780-2,200 yuan/tonne at main ports, remaining flat over yesterday(Tianjin offers 1,900-2,200 yuan/tonne; Nantong 1,850-1,860 yuan/tonne; Guangdong 1,780 yuan/tonne. Meantime prices for most imported barley remain stable, which stay at 1,660-1,820 yuan/tonne at main ports(Tianjin has not reported yet; Qingdao 1,820 yuan/tonne; Nantong 1,700-1,800 yuan/tonne; Shekou port in Guangdong 1,660-1,780 yuan/tonnes, where USD $1= CNY 6.611). Barley supplies in circulation at Nantong ports become tightened, additionally, costs for barley will keep high later, hence sorghum and barley prices in EC will edge up at ports in these days in terms of strong sentiment of importers to hold out for high prices in case of unavailable suppiles on lower costs. Given that new autumn corn in Huang-huai area, NC is being harvested into market, especially in Liaoning areas, corn supplies are still great in market, accordingly, prices cut of new corns appears to be different in regions. Seeing that new corns flock into the market, most enterprises engaging in deep processing prefer hand-to-mouth purchasing to maintain the basic inventory in case of risks. Yet, the weighed corn prices will also affect demands for barley and sorghum. Additionally, domestic new sorghum and barley will also weigh down other grains at ports. With mixed long and short positions in market, significant fluctuations will not be reached on barley and sorghum, instead, steady fluctuations will go forward.