Daily review on soybean meal: US soybeans priced up overnight, but Dalian meal today is lack of volatility to rebound, of which domestic soybean meal spots are most stable, yet turnover is still poor. Coastal soybean meal prices range from 2,830 to 2,920 yuan/tonne, a fluctuation of 10-20 yuan/tonne compared with yesterday (Tianjin prices 2,910 yuan/tonne, Shandong 2,900-2,920 yuan/tonne, Jiangsu 2,840-2,860 yuan/tonne, Dongguan 2,840-2,860 yuan/tonne, Guangxi 2,850-2,870 yuan/tonne). Price upside in US soybeans is capped as large-scale rain in Brazil may bring about higher-than-expected soybean production in market speculation, given that, US soybeans may probably be pressured down later in market. Soybean meal spots are also lack of volatility as stocks further reach 935,000 tonnes week on week by 7% in light of high operating rate but delayed stockpiles and light trading volume. Nevertheless, with quite a lot contracts to implement in oil mills and expected stockpiles in feed producers in the second half of the January, the run-up to holidays, soybean meal is not likely to fall a lot in a short term, but to experience volatile sessions tracking futures in a tight range. Buyers can take a hand-to-mouth purchasing strategy for the time being.

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal are basically stable, among which prices in coastal areas stand at 2,240-2,270 yuan/tonne (Guangxi offers 2,270 yuan/tonne; Guangdong 2,250 yuan/tonne; Fujian 2,270 yuan/tonne). More and more oil mills in South China are now faced with swelling rapeseed meal stocks amid its poor performance in market consumption, while on the other side, soybean meal stocks keep growing in the wake of impressive soybean crush, in that rapeseed meal in a short term may go weak with future and be hard to jump by leaps for lack of volatility.

    Daily review on fishmeal: today, prices for imported fishmeal keep firm, yet prices are negotiable upon transaction and shipments at ports are light. Northern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 13,000-13,200 yuan/tonne; 13,700-13,900 yuan/tonne for Japanese SD with 67% protein content; 14,000-14,200 yuan/tonne for super steam fishmeal with 68% protein content. Southern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 12,900 yuan/tonne; 13,700 yuan/tonne for Japanese SD with 67% protein content; 14,000 yuan/tonne for super steam fishmeal with 68% protein content. Port stocks: Hangpu has 18,000 tonnes, Fuzhou 32,000 tonnes, Shanghai 11,000 tonnes, Tianjin 1,000 tonnes, Dalian 4,000 tonnes, Fangchenggang 1,000 tonnes, and other ports 4,000 tonnes. Spots offers (FOB) in the outer remain stable for J/F delivery, in detail, the fishmeal offer for ordinary SD with 65% protein content in Peru stays at USD $1,820 per tonne, USD $1,980 per tonne for super steam fishmeal with 68% protein content; the offer in Chile ordinary SD with 65% protein content is USD $1,850 per tonne, USD $1,980 per tonne for excellent fishmeal with 68% protein content. Shorter term, fishmeal in market will mainly remain strong in view of its stable performance in the outer and falling stocks.

    Daily review on soybeans: due to a strict investigation by State Commodity Inspection Department, soybeans at ports fail to be quoted and delivered, of which prices of most imported and distributed soybeans are stopped to report at Qingdao and Rizhao ports. Though beans in the outer last night ended high, imported soybeans for distribution are markedly restricted in food-grade products circulation, and in consideration of ample domestic soybean supply and large soybean arrivals, market players are not optimistic about its performance later. Still, attention should paid to port inspections and soybean arrivals.

    Daily review on oils: market concerns go around that soybean yield would be trimmed by fewer-than-expected rain in Argentina, additionally, US soybeans overnight rose to a one-week high along with high ending trade of soybean meal supported by short covering. Nevertheless, US soybean oil ended lower, dampened by lower crude oil future prices, correspondingly, Dalian oils continue to dip today where domestic soybean oil and palm oil spots come down with futures, yet turnover is not much. Short and long positions in market are mixed factored in Argentine drought worries and Brazil favorable rain, in that US soybeans in a near term may vibrate in a certain range and are hard to price up significantly. Moreover, domestic soybean oil on one hand is fueled as it has shriveled to 1.56 Mln tonnes in stocks with a reduction of 0.12 Mln tonnes from the previous record-high level due to stockpiling ahead of holidays, but on the other hand, stockpiles of packing oils draw to a end with roughly ten days left, in this case, oil spots in the short term will be subject to volatility in a lower level tracking futures amid oil glut and be capped on higher prices if any rebounds come about. Buyers for the moment can stand on the sidelines.

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,590-5,680 yuan/tonne, falling by 20-50 yuan/tonne (Tianjin traders offer 5,620-5,630 yuan/tonne, Rizhao traders 5,610 yuan/tonne, Zhangjiagang traders 5,680 yuan/tonne, Guangzhou traders 5,590 yuan/tonne).

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,090 and 5,230 yuan/tonne, most decreasing by 10-20 yuan/tonne (Tianjin traders offer 5,220-5,230 yuan/tonne, a drop of 10 yuan/tonne; Rizhao traders have not reported the prices; Zhangjiagang traders offer 5,180 yuan/tonne, a decline of 20 yuan/tonne; Guangzhou 5,090-5,110 yuan/tonne, down 20 yuan/tonne; Xiamen 5,220 yuan/tonne, a decline of 10 yuan/tonne).

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil go steady basically, among which main prices in coastal areas stay at 6,250-6,450 yuan/tonne (Basis: Maple in Fangchenggang, Guangxi reaches 1,805-110; Yinxiang in Xiamen, Fujian stops to report; Shenheng in Dongguan, Guangdong 1,805-200). Turnover demonstrates high in two-round rapeseed oil tenders as market players are passionate in participating, and along with the peak time for building up stocks, rapeseed oil in market is fueled. Yet, demand for rapeseed oil is not likely to be great in consideration of expanded price gap between soybean oil and palm oil. In short, rapeseed oil in near term will still be in volatile sessions.

    Daily review on corn: today, domestic corn prices continue to pare gains. Corn purchasing prices in Shandong deep processors mostly stay at 1,830-1,940 yuan/tonne, down 10-30 yuan/tonne from yesterday, by contrast, purchasing prices in the northeast stand at 1,644-1,750 yuan/tonne, keeping flat. While the purchasing prices offered at Jinzhou port, Liaoning keep flat at 1,800-1,815 yuan/tonne, down 5 yuan/tonne from yesterday upon the highest price. Drying new corn of Liaoning and Jilin (moisture≤15%, volume weight 690-700 g/L) at Bayuquan port prices at 1,800-1,810 yuan/tonne, down 10 yuan/tonne from yesterday. New corn spot prices at Shekou port, Guangdong are pegged at 1,930-1,950 yuan/tonne, further decreasing by 10 yuan/tonne from yesterday. Corn purchase prices continue to decrease by 10-30 yuan/tonne as corn arrivals in Shandong deep processors keep growing, besides, traders in northeastern producing areas recently have changed their mind in goods hoarding with a concern about policy risks that corn auction would become normal later in market, consequently, corn at northern and southern ports today continue to edge lower. However, corn prices in Inner Mongolia tender grow by 30-40 yuan/tonne with all sold out again, showing supply tension of corn in market. Generally speaking, corn demand in the downstream remains robust when Lunar New Year is approaching, in this case, corn prices are not likely to go lower, but probably to stay in high levels in volatile sessions.

    Daily review on sorghum and barley: today, prices for imported sorghum go steady which settle at 1,880-1,970 yuan/tonne at main ports (Tianjin offers 1,970 yuan/tonne; Nantong 1,880-1,890 yuan/tonne; Shanghai 1,890-1,890 yuan/tonne; Guangdong 1,870-1,880 yuan/tonne. Meantime prices for most imported barley keep stable which stay at 1,720-1,810 yuan/tonne at main ports (Tianjin has not reported yet; Nantong 1,800-1,810 yuan/tonne; Shekou port in Guangdong 1,720-1,770 yuan/tonnes). Sorghum is estimated to arrive at ports in East China and South China before Chinese Lunar New Year, which may therefore ease supply tension. In addition, there is an incentive for importers to make more shipments. Whereas, it’s said that Chinese buyers are proactive in sorghum purchasing, supporting its prices in the outer, moreover, high CNF prices in US stay in recent days give substantial support to its market. Furthermore, buoyant  corn prices in corn belts like northeast and North China boost the market, therefore, sorghum and barley in the run-up to Spring Festival holidays will go strong.