Daily review on soybean meal: Chicago soybeans and Dalian meal continue to go down, of which domestic soybean meal spots drop tracking futures. Yet, turnover of spots is still not much though forward lower prices may further attract some deals. Soybean meal prices in coastal areas range from 2,840 to 2,900 yuan/tonne, a drop of 10-30 yuan/tonne against yesterday (Tianjin prices 2,900 yuan/tonne, Shandong 2,850-2,870 yuan/tonne, Jiangsu 2,820-2,830 yuan/tonne, Dongguan 2,820-2,850 yuan/tonne, Guangxi 2,850-2,870 yuan/tonne). US beans last night tumbled impressively due to fragile exports and expected rains in Argentina according to weather forecast. While soybean meal is still in dilemma for its spots are under considerable pressure based on healthy crush margin, exceedingly high operating rate and accumulating stocks on one hand when stockpiling almost comes to an end, and on the other hand soybean oil remains sluggish amid processors’ support for meal prices, therefore with all taken into consideration, soybean meal for a short time will not fall a lot, but be probable to vibrate in a tight range. Buyers had better maintain a safe inventory level and keep an eye on when chasing high, particularly, buyers may as well buy in in batches when forward basis is not more than 60 yuan. 

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal decline steadily, among which prices in coastal areas stand at 2,240-2,300 yuan/tonne, some down 10-20 yuan/tonne (Guangxi offers 2,260 yuan/tonne, down 10 yuan/tonne; Guangdong 2,290 yuan/tonne; Fujian stops to report). Oil mills in South China afflicted with swollen rapeseed meal are on the increase amid poorer demand this wither than that in former years, showing a bearish window for rapeseed meal in supply/demand sides. Additionally, exceedingly high operating rate of soybean crush results in accumulation of soybean meal stocks, and a weaker performance of soybean meal will also drag down rapeseed meal in expectation. 

    Daily review on fishmeal: today, prices for imported fishmeal keep firm, yet bargaining is confined to ranges 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 23,000 tonnes, Fuzhou 31,000 tonnes, Shanghai 15,000 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, 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. Fishmeal in China’s market remain poor irrespective that its volume at domestic ports in these days shows a slight increase, in that price variation is limited. 

    Daily review on soybeans: due to a strict investigation by State Commodity Inspection Department, soybeans at ports fail to be quoted, of which prices of imported soybeans for distribution remain unquoted at Qingdao and Rizhao ports. And in expectations, that will continue in the run-up to Lunar New Year. 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. Attention should still be paid to port inspections and soybean arrivals. 

    Daily review on oils: CBOT beans last night fell further, hit by fragile US exports and improved weather pattern in South America, yet, Dalian oils today slow down the falling pace and are subject to slight falls, where some domestic soybean oil and palm oil spots continue to fall, yet turnover is not much. US soybeans fail to break 1,000 cents mark on account of poor export and improved weather pattern. Moreover, soybean crush this week may reach 2 Mln tonnes based on large soybean supplies and good crush margins, however, oil demand is somewhat reduced as stockpiling for packing oils is basically finished. Generally, soybean oil spots are limited to fall in stocks after reaching 1.49 tonnes and palm oil is increased to 0.66 Mln tonnes, besides, oil spots in theses two days pare gains tracking futures for processors’ failure to hold onto prices, therefore oils overall will run weaker and lower before holidays based on oil glut, and buyers can stand on the sidelines for the time being. 

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,540-5,660 yuan/tonne, some falling 10-50 yuan/tonne further (Tianjin traders offer 5,580-5,590 yuan/tonne, Rizhao traders 5,550 yuan/tonne, Zhangjiagang traders 5,660 yuan/tonne, Guangzhou traders 5,540-5,550 yuan/tonne). 

    Today's palm oil: 24-degree palm oil prices in coastal areas range from 5,030 to 5,220 yuan/tonne, some falling 10 yuan/tonne (Tianjin traders offer 5,150-5,160 yuan/tonne, down 10 yuan/tonne; Rizhao traders stop to report; Zhangjiagang traders 5,220 yuan/tonne, keeping flat; Guangzhou traders 5,030-5,050 yuan/tonne; Xiamen traders 5,150 yuan/tonne, being flat). 

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil are basically stable, among which main prices in coastal areas stay at 6,250-6,470 yuan/tonne (Basis: Maple in Fangchenggang, Guangxi offer 1805-60; Yinxiang in Xiamen, Fujian stops to report; Shenheng in Dongguan, Guangdong 1805-160). Rapeseed oil supplies now will keep accumulating as about 0.21 Mln tonnes of rapeseed oil have been tendered publicly by State Reserves Bureau and another targeted 0.9 Mln tonnes will be put into market in the first half of year 2018 irrespective of overall oil glut. Shorter term, rapeseed oil may vibrate lower with futures when a build up in inventory draws to an end. 

    Daily review on corn: today, prices for most domestic corn remain stable, some fluctuating in a tight range. Corn buying prices in Shandong deep processors mostly stay at 1,840-1,970 yuan/tonne, some down 6-10 yuan/tonne, by contrast, purchasing prices in the northeast stand at 1,640-1,720 yuan/tonne, some further down 4-10 yuan/tonne from yesterday. While the purchasing prices offered at Jinzhou port, Liaoning stand at 1,810-1,820 yuan/tonne, being flat from yesterday. 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, being flat. Corn spot prices at Shekou port, Guangdong stay at 1,900-1,920 yuan/tonne, being flat over yesterday. Prices for most domestic corn remain stable today, some fluctuating in a tight range. Stockpiling in the downstream almost comes to an end when Lunar New Year holidays are around the corner--not more than 15 days, and affected by ongoing auctions, northeastern corn prices go stable but with downward tendency. But notably, corn prices are still fueled seeing merely 20%-30% of grain surplus left in northeastern corn belt and ongoing daily corn buying in North China under safe inventory levels even though traders are hold onto goods and logistics are under pressure in time of holidays and bad weather.  Therefore corn spot prices may remain high and vibrate in a tight range before holidays, besides corn selling and buying will gradually fade out as Spring Festival holidays are coming. 

    Daily review on sorghum and barley: today, prices for imported sorghum go steady which settle at 1,860-1,930 yuan/tonne at main ports (Tianjin offers 1,930 yuan/tonne; Nantong 1,870-1,880 yuan/tonne; Shanghai 1,860-1,870 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/tonne). Vessels loaded with sorghum have arrived at ports in North China recently, and there is an incentive for traders who have stocks at hand to make more shipments upon lower offers for the sake of money collecting when holidays are around the corner. Farmers also have great willingness to sell goods in consideration of enlarged policy risks in corn market, and moreover, sorghum in market is affected by declining corn prices in some northeastern businesses. However, import costs remain high as CNF in US prices up in recent days, and importers are inclined to higher prices for goods at hand in fear of unavailable supply of lower costs. Given that, with long and short positions mixed, sorghum and barley at ports in the run-up to Spring Festival holidays continue to pare gains steadily in a tight range. Market players can wait for new information for guidance.