Daily review on soybean meal: US soybeans overnight grew lower than the figure in CBOT, correspondingly, soybean meal in DCE today runs below the previous close. Yet, domestic soybean meal spots turn stable after pick-ups with some fluctuating in prices, still, turnover is light. Soybean meal prices in coastal areas range from 2,960 to 3,050 yuan/tonne, fluctuating around 10-20 yuan/tonne(Tianjin prices 3,010 yuan/tonne, Shandong 2,960-2,980 yuan/tonne, Jiangsu 2,980-3,000 yuan/tonne, Dongguan 3020-3030 yuan/tonne, Guangxi 3,030-3,050 yuan/tonne). US soybean futures continue to be buoyed by robust export demand and market concern over dry weather in Argentina to cut soybean yield, meantime, soybean meal in market in the first half of December is to be strong in performance, attributed to surging industrial products and traders’ arbitrary of buying meal and selling oils. However, soybean meal stocks now have raised to 0.68 Mln tonnes by 1% week on week with good crush margins and high operating rate amid large soybean arrivals at ports latter, among which some oil mills in Shandong region are bloated with soybean meal and are forced to take a machine halt. Stocks in North China also keep growing, and such fundamentals limit soybean meal to rise by leaps and bounds, nevertheless, precautions should be taken to cope with falling risks coming after massive supplies. Buyers are not encouraged to chase high prices, instead, to stand sidelines for the moment if bargain buying was made yesterday.

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal decline steadily, among which prices in coastal areas stand at 2,280-2,370 yuan/tonne with some falling 10-30 yuan/tonne(Guangxi offers 2,280 yuan/tonne; Guangdong 2,320 yuan/tonne; Fujian 2,370 yuan/tonne, down 30 yuan/tonne). Albeit rapeseed meal are off-season, continuous rapeseed processing with high operating rate has led to a bloated inventory in some mills, such being the cases, spots are hard to go up though oil mills are more cautious about price hikes for the sake of shipments. Overall, rapeseed meal may fluctuate frequently, tracking futures, and be hard to jump.

    Daily review on fishmeal: today, prices for imported fishmeal pick up steadily, yet prices are not likely to negotiate and shipments at ports are general. Northern ports: fishmeal price for ordinary SD with 65% protein content in Peru are 12,600-12,700 yuan/tonne with a rise of 400 yuan/tonne over yesterday; 13,300-13,400 yuan/tonne for Japanese SD with 67% protein content, rising 400 yuan/tonne against yesterday; 13,600-13,700 yuan/tonne for super steam fishmeal with 68% protein content with a rise of 100 yuan/tonne. Southern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 12,500 yuan/tonne; 13,300 yuan/tonne for Japanese SD with 67% protein content; 13,800 yuan/tonne for super steam fishmeal with 68% protein content. Fishing: till December 3rd, about 6,026 tonnes of fish have been caught in northern Peru in B season over 17 years, accounting for 0.4% of the total volume; fishing quota for this season is 1.49 Mln tonnes, leaving 1,483, 974 tonnes unfinished. By contrast, about 9,384 tonnes have been caught in southern Peru, accounting for 1.82% of the total volume; fishing quota for this season is 515,000 tonnes, among which 50,5616 tonnes remain unfinished. Port stocks: Hangpu has 48,000 tonnes, Fuzhou 37,000 tonnes, Shanghai 28,000 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 ordinary SD with 65% protein content in Peru stays at USD $1,620 per tonne, USD $1,780 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 J/F. Fishmeal holders at ports have strong sentiments in price hike for markedly falling stocks the time market players expect fish catching in Peru later to turn better. Overall, fishmeal is probably to be buoyant in market in the near future.

    Daily review on soybeans: today, prices for most imported and distributed soybeans keep stable, which stays at 3,450-3,500 yuan/tonne at Shandong ports, some rising 50 yuan/tonne. It is indicated that approximately 37% of the soybean acreage in Argentina is in need of moisture, consequently, US soybeans are supported in market. Besides, market confidence is still buoyed as stocks of imported soybeans at ports have not significantly piled up amid strict censorship of GMO certificates to somewhat limit imports of some soybeans, thus boosting the performance of some imported and distributed soybeans. Yet, the upside of imported and distributed soybean is probably to be limited the time market buyers are cautious about high procurement prices amid growing domestic soybeans in market and estimated large imports of soybeans later. Overall, imported and distributed soybeans in a shorter term will experience a strong and volatile session, but later will be under considerable pressure if soybean unloading goes smooth. Attention should be paid to port inspections and soybean arrivals.

    Daily review on oils: affected by jumping soybean meal futures and worries about dryness in Argentina to lessen soybean yield, US soybeans and soybean meal overnight were buoyant. While US soybean oil was dragged down by released arbitrary of buying soybean oil and selling meal overnight, consequently, oils in DCE today fall down where domestic soybean oil and palm oil spots are weighed down with futures. Still, turnover is light as buyers are cautious about the market. Dry weather in Argentina may cut yields, but good weather in Brazil on the other hand boosts yield potential, particularly, FCStone, an integrated commodity risk management firm, raised its forecast for 17/18 Brazilian bean production to 107.6 million tonnes and US soybeans overnight fall below 1,000 cents. Soybean oil stocks remain a record high with good crush margins and exceedingly high operating rate on the back of large domestic soybean arrivals, seeing that, oils rebound is just a flash in the pan with such fragile fundamentals. Shorter term, meal will remain overwhelming in market yet with poor performance of oils, while oils may be limited to fall as US soybeans in near future are somewhat buoyed by dryness in Argentina.  Buyers may as well to maintain a light inventory. 

    Today's soybean oil: main prices for GB grade one soybean oil in coastal areas stand at 5,840-5,960 yuan/tonne, falling 10-40 yuan/tonne(Tianjin traders offer 5,910-5,920 yuan/tonne, Rizhao traders 5,930-5,940 yuan/tonne, Zhangjiagang traders 5,930 yuan/tonne, Guangzhou traders 5,840 yuan/tonne, Fujian traders have not quoted yet).

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,320 and 5,450 yuan/tonne, a decline of 10-50 yuan/tonne(Tianjin traders offer 5,430-5,440 yuan/tonne, a drop of 30 yuan/tonne; Rizhao taders 5,450 yuan/tonne, keeping flat; Zhangjiagang traders 5,350 yuan/tonne, a decline of 50 yuan/tonne; Guangzhou 5,320-5,330 yuan/tonne, falling 40 yuan/tonne; Xiamen 5,350-5,360 yuan/tonne, falling 10 yuan/tonne).

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil drop steadily, among which prices in coastal areas are 6,500-6,740 yuan/tonne, falling 20-60 yuan/tonne against yesterday(Basis: Guangxi offers 1,805-150 for January-March delivery; Yinxiang in Xiamen, Fujian offers 1,805-300 for January delivery; Shenheng in Guangdong stops to report), yet turnover is not much. Soybean oil, shorter term, lacks impetus to rebound or fluctuates frequently in a tight range in light of overall oil glut and overwhelming soybean oil for rapeseed oil. 

    Daily review on corn: today, prices for domestic corn in most regions remain stable, but some fluctuating in a tight range. Most purchasing prices for corn in Shandong deep-processing enterprises stay at 1,660-1,760 yuan/tonne, some falling 6-10 yuan/tonne compared with yesterday, by contrast, purchasing prices in the northeast stand at 1,500-1,610 yuan/tonne, up 10-20 yuan/tonne in some enterprises over yesterday. Corn prices of Liaoning and Inner Mongolia at Jinzhou port are revised to 1,675 yuan/tonne, up 5-10 yuan/tonne over yesterday, new corn of Heilongjiang prices at 1,655 yuan/tonne, and corn with moisture is 1,350 yuan/tonne. Drying new corn of Liaoning and Jilin with 14.5%-15% moisture at Bayuquan port prices at 1,655-1,660 yuan/tonne, up 5 yuan/tonne against yesterday. Drying new corn with 14.5%-15% at Bayuquan port prices at 1,655-1,660 yuan/tonne, up 5 yuan/tonne against yesterday. Corn prices continue to be buoyant as farmers in northeastern belt have stronger sentiments to hold onto the goods the time deep-processing enterprises are proactive in corn purchasing, meantime, corn prices at northern ports continue to pick up. On the other sides, grain selling volumes in North China has shown a marked increase than before as corn prices are seen to depreciate on a small scale in these days, resulting from enterprises’ little willingness to make stockpiling. Shorter term, prices for domestic corn spots will remain strong with slight fluctuations in market, therefore attention should be paid to corn supplying, weather pattern, logistics, downstream demand changes and related polices on later corn prices.

    Daily review on sorghum and barley: today, prices for imported sorghum go steadily which settle at 1,820-2,180 yuan/tonne at main ports(Tianjin offers 2,180 yuan/tonne; Nantong 1,910 yuan/tonne; Shanghai 1,890 yuan/tonne; Guangdong 1,820 yuan/tonne. Meantime prices for most imported barley keep stable which stay at 1,660-1,880 yuan/tonne at main ports(Tianjin has not reported yet; Zhangjiagang 1,780 yuan/tonne, but 1,750 yuan/tonne upon transaction; Nantong 1,800 yuan/tonne; Shekou port in Guangdong 1,660-1,780 yuan/tonne). According to customs, imports of sorghum and barley in October wane. Additionally, grain supply at Tianjin and Nantong ports become tightened, where barley at Qingdao port and sorghum at Nantong port are basically sold out, and turnover is mostly based on implemented contract, hence bullish fundamentals bolster the market. Additionally, costs for barley and sorghum keep at a high level amid strong sentiment of importers to hold out for high prices in case of unavailable supplies on lower costs. Overall, grains will remain strong in a short term.