Daily review on soybean meal: US soybeans prices were a tad lower last night, the same trend going to soybean meal today in DCE. Domestic soybean meal spots are steadily weighed down with futures, yet turnover presents poor and part of lower forward basis may attract some deals. Soybean meal prices in coastal areas range from 2,920 to 3,000 yuan/tonne, some fluctuating 10-20 yuan/tonne against yesterday(Tianjin prices 3,000 yuan/tonne, Shandong 2,950-2,970 yuan/tonne, Jiangsu 2,920-2,950 yuan/tonne, Dongguan 2980-2990 yuan/tonne, Guangxi 2,970-2,990 yuan/tonne). US beans are dragged down again due to rainfall in Brazil and sluggish export requirements. While good crush margins ignite the enthusiasm of oil mills amid limited turnover on high prices, thereby soybean meal spots are slightly lowered with futures. Most oil mills now fall short of spots the time almost 80% of soybean meal upon D-J delivery are sold out, most of which are based on implemented contracts. Nevertheless, soybean meal, shorter term, is hard to plunge a lot, instead, it may continue to fluctuate with futures in a tight range in the context of market worries about strict GMO certificates issuing to affect soybean supply in December and strong sentiments of high offers by oil mils. Notably, market insiders should be cautious about the trend in medium term in consider of exceedingly large amounts of soybean at ports later. Buyers for the moment can wait and see, and take a bargain hunting when forward basis is low.

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal rise steadily, among which prices in coastal areas stand at 2,280-2,370 yuan/tonne, some fluctuating 10-20 yuan/tonne(Guangxi offers 2,280 yuan/tonne; Guangdong 2,300 yuan/tonne, down 10 yuan/tonne; Fujian 2,370 yuan/tonne, up 10 yuan/tonne). Stocks of rapeseed meal in South China continue to drop in a lower level, which bolsters its prices. Price gap between soybean meal and rapeseed meal is quite small even though soybean meal overwhelms the rapeseed meal in market amid poor demands. Shorter term, rapeseed meal is hard to go up or fall down greatly, instead, it may keep rangebound in a tight range with futures.

    Daily review on fishmeal: today, prices for imported fishmeal pick up, yet prices are negotiable upon transaction and shipments at ports are general. Northern ports: fishmeal price for Peru ordinary SD with 65% protein content are 10,500-10,700 yuan/tonne, 11,200-11,400 yuan/tonne for Japanese SD with 67% protein content, 11,500-11,700 yuan/tonne for super steam fishmeal with 68% protein content, all rising 100-200 yuan/tonne over yesterday. Southern ports: fishmeal price for Peru ordinary SD with 65% protein content are 10,400 yuan/tonne, 11,200 yuan/tonne for Japanese SD with 67% protein content; 11,500 yuan/tonne for super steam fishmeal with 68% protein content, all rising 100 yuan/tonne over yesterday. Port stocks: Hangpu has 59,000 tonnes, Fuzhou 38,000 tonnes, Shanghai 37,000 tonnes, Tianjin 1,000 tonnes, Dalian 6,000 tonnes, Fangchenggang 1,000 tonnes, and other ports 4,000 tonnes. Spots offers in foreign trading(FOB) remain stable, in detail, the fishmeal offer for Peru ordinary SD with 65% protein content stays at USD $1,370 per tonne, USD $1,520 per tonne for super steam fishmeal with 68% protein content; the offer in Chile ordinary SD with 65% protein content is USD $1,350 per tonne, USD $1,460 per tonne for excellent fishmeal with 68% protein content, all of which are shipments in D/J. Holders are supported to raise fishmeal prices in light of estimated lower quota for new-season fighing in Peru and delayed time to start catching. Overall, fishmeal may further pick up in market.

    Daily review on soybeans: today, prices for most imported and distributed soybeans remain stable, which stays at 3,330-3,410 yuan/tonne at mains ports, while some rising 10 yuan/tonne. Stocks of imported soybean for trade at ports have not significantly piled up in the context of market worries about strict GMO certificates issuing to affect soybean supply in December and strong sentiments of high offers by oil mils, therefore imported and distributed soybean for the moment pick up. But US beans are dragged down again due to rainfall in Brazil and sluggish export requirements. Large soybeans will arrive at ports later though domestic new soybeans now keep supplying in market, given that, imported and distributed soybeans will be pressured down later if GMO certificates checkup has little effect on the delivery.

    Daily review on oils: US beans were pressured down again since exports for soybeans slump and favorable rainfall comes to boost crop growth in Brazil, the biggest supplier in the world. While oils in DCE today fluctuate where most domestic soybean oil and palm oil spots remain stable with some falling down, yet turnover is not much. Stocks of soybean oil hit a record high of more than 1.6 Mln tonnes in light of good crush margins and estimated high operating rate in the following two weeks to come. Oil glut persists amid estimated more than 26 Mln tonnes of soybean arrivals at ports from December and January, given that, oil mills which are short of oil tankers to store up have to urge traders to speed up delivery. Though oils in market have little impetus to rebound till the high-season small stockpiling, oil prices are limited to fall a lot amid the oil mills’ confidence in high offers as operation may somewhat be affected by China’s strict administration of imported GM-soybean and haze-prevention strategy in winter, on the whole, oil spots will be weaker in market in a short term or fluctuate following futures. Buyers can take a hand-to-mouth purchasing.

    Today's soybean oil: main prices for GB grade one soybean oil in coastal areas stand at 5,960-6,100 yuan/tonne, falling 10-20 yuan/tonne in some areas(Tianjin traders offer 6,020-6,030 yuan/tonne, Rizhao traders 6,030 yuan/tonne, Zhangjiagang traders 6,050 yuan/tonne, Guangzhou traders 5,960 yuan/tonne, Fujian traders 6,080-6,100 yuan/tonne).

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,520 and 5,660 yuan/tonne, some declining 10-20 yuan/tonne(Tianjin traders offer 5,650-5,660 yuan/tonne, a drop of 10 yuan/tonne; Rizhao traders are out of stock; Zhangjiagang traders offer 5,650 yuan/tonne, Guangzhou 5,520 yuan/tonne, Xiamen 5,630 yuan/tonne, remaining flat over yesterday).

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil are basically stable, among which prices in coastal areas are 6,530-6,720 yuan/tonne(basis for Maple in Fangchenggang, Guangxi reaches 1,801-160; Yinxiang in Xiamen, Fujian stops to report; Shenheng in Guangdong offers 1801-320 for basis in December). Stocks of rapeseed oil in East China last week were downsized, totally opposite to South China, additionally, stocks of soybean oil were regained to more than 1.6 Mln tonnes. Generally, rapeseed oil may keep frequently rangebound with futures amid oils glut and overwhelming soybean oils in market. 

    Daily review on corn: today, prices for most domestic corn remain stable, some fluctuating in a tight range. Main prices for corn acquisition in Shandong deep-processing enterprises stay at 1,680-1,760 yuan/tonne, some falling 10 yuan/tonne over yesterday. Corn prices at Jinzhou port, Liaoning are stable after falls, where new corn of Liaoning and Inner Mongolia settles at 1,635 yuan/tonne, and corn in Heilongjiang stands at 1,625 yuan/tonne, both remaining flat over yesterday. Drying new corn of Liaoning and Jilin with 14.5%-15% moisture at Bayuquan port prices at 1,610-1,615 yuan/tonne, rising 5-10 yuan/tonne against yesterday and 1,590-1,600 yuan/tonne for Heilongjiang corn, with an increase of 10 yuan/tonne on the highest price over yesterday. New corn prices at Shekou port, Guangdong stay at 1,850 yuan/tonne, remaining flat over yesterday, yet prices are negotiable, ranging from 1,830-1,840 yuan/tonne. Albeit snowfall and falling temperature in Northeastern belt are favorable for corn storage, threshing and supplying, most downstream enterprises now prefer a hand-to-mouth purchasing for they are cautious about stockpiles building in batches, which hampers corn prices to rise. However, in the medium and long term, demand ramps up amid feed requirements for the better, while the production side struggles to keep pace and holders have strong sentiments to hoard crops, such being the cases, domestic corn prices are limited to fall, on the whole, corn in a short term is likely to fluctuate in a tight range.

    Daily review on sorghum and barley: today, prices for imported sorghum rise steadily which settle at 1,780-2,250 yuan/tonne at main ports(Tianjin offers 1,980-2,250 yuan/tonne with a rise of 20 yuan/tonne; Shanghai 1,880 yuan/tonne; Guangdong 1,780-1,790 yuan/tonne. Meantime prices for most imported barley keep stable which stay at 1,660-1,840 yuan/tonne at main ports(Tianjin has not reported yet; Qingdao 1,850 yuan/tonne; Lianyungang 1,700 yuan/tonne; Zhangjiagang 1,780-1,790 yuan/tonne; Nantong 1,700-1,800 yuan/tonne; Shekou port in Guangdong 1,660-1,780 yuan/tonne). Sorghum prices at Tianjin ports continue to rise in terms of tight supply at Tianjin and Nantong ports and bullish fundamentals to boost the market. Additionally, costs for barley and sorghum keep at a high level due to strong sentiment of importers to hold out for high prices in case of unavailable supplies on lower costs. However, poor demand for feed will also affect grain requirements, limiting the rally of spots. Shorter term, spots will remain strong in market.