Daily review on soybean meal: US soybeans prices edged lower last night, while soybean meal today on DCE encounters with slight vibrations among which most domestic soybean meal spots remain stable amid some fluctuations, yet turnover turns to be few. Soybean meal prices in coastal areas range from 2,980 to 3,060 yuan/tonne, some changing 10-20 yuan/tonne against yesterday (Tianjin prices 3,060 yuan/tonne, Shandong 2,980-3,020 yuan/tonne, Jiangsu 3,000 yuan/tonne, Dongguan 3,000-3,010 yuan/tonne, Guangxi 3,010-3,020 yuan/tonne). Soybean meal futures turn stable for the moment after gains as US soybean futures are temporarily weighed down by traders’ profit taking along with buyers’ cautiousness of chasing high after great rises of soybean meal yesterday. But notably, soybean production estimates are significantly reduced by agencies to 46-47 Mln tonnes on account of severe drought in Argentina, therefore, US soybeans may remain strong unless the weather speculation are ruled out. By and large, price rally of soybean meal will go forward seeing that merely 6.7 Mln tonnes of soybeans may arrive at ports in March-- not a large one. Therefore, buyers who have inventories had better not chase high and are suggested to maintain a proper inventory level in a bargain hunting strategy 

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal are basically stable, among which prices in coastal areas stand at 2,400-2,440 yuan/tonne (Guangxi offers 2,400 yuan/tonne; Guangdong 2,430 yuan/tonne; Fujian stops to report). US soybeans still go strong, mainly fueled by continuous dry weather in Argentina. Yet, with the end of Spring Festival holidays, the switch-on rate in oil mills will gradually recover backed by abundant rapeseed, in this case, gradually burdensome supply and off-season poor demand will put pressure on rapeseed meal prices. Therefore, rapeseed meal in a shorter term may be under adjustment following futures. 

    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. Fishing: till February 21st, about 74,668 tonnes of fish have been caught in southern Peru in A season of year 2018, accounting for 13.96% of total quota--535,000 tonnes--this season, among which 460,332 tonnes remain unfinished. Port stocks: Hangpu has 25,000 tonnes, Fuzhou 32,000 tonnes, Shanghai 18,000 tonnes, Tianjin 1,000 tonnes, Dalian 3,000 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. Market players now mostly hold a wait-and-see attitude in consideration that Chinese holidays are just over, in that fishmeal in market may remain stable for a time.  

    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. Imported soybeans for distribution are markedly restricted in food-grade products circulation for port inspections, 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: beans on CBOT lat night pared gains due to traders’ profit taking, while by contrast, oils on Dalian Commodity Exchange today open high and go high where domestic soybean oil and palm oil are buoyant with futures, yet turnover is not much. Buenos Aires Grain Exchange is about to reduce its soybean yield to 47 Mln tonnes from 50 Mln tonnes in the previous forecast when drought in Argentina becomes severer and severer, therefore US soybeans overall will remain strong till the end of weather speculation. Generally speaking, oils may welcome a rally for a time when only 6.7 Mln tonnes of soybeans arrive at ports in March. But to tell the truth, price upside will somewhat be capped amid overwhelming supplies for soybean oil is pegged at a high level over many years and palm oil keeps accumulating in stocks in time of routinely poor demand after holidays.  Buyers had better not chase high.  

    Today's soybean oil: main prices for GB grade one soybean oil in coastal areas stay at 5,600-5,700 yuan/tonne, increasing by 30-50 yuan/tonne against yesterday but by 80-100 yuan/tonne against quotes before the holidays (Tianjin traders offer 5,690-5,700 yuan/tonne, Rizhao traders 5,700 yuan/tonne, Zhangjiagang traders 5,680 yuan/tonne, Guangzhou traders 5,600 yuan/tonne). 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,220-5,270 yuan/tonne, increasing by 50-80 yuan/tonne (Tianjin traders offer 5,260-5,270 yuan/tonne, a rise of 80 yuan/tonne; Zhangjiagang traders offer 5,250 yuan/tonne, a rise of 50 yuan/tonne; Xiamen 5,220 yuan/tonne, a rise of 50 yuan/tonne; Rizhao and Guangzhou traders stop to report). 

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil rise steadily, among which main prices in coastal areas stay at 6,180-6,420 yuan/tonne, up 20-50 yuan/tonne (Basis: Maple in Fangchenggang, Guangxi offer 1805-60; Yinxiang in Xiamen, Fujian stops to report; Fuzhiyuan in Dongguan, Guangdong offers 6,320 tonnes for GB grade four rapeseed oil). Supply pressure on rapeseed oil still remains for one reason that about 0.21 Mln tonnes of rapeseed oil have been sold publicly by State Reserves Bureau earlier this year along with another targeted 0.9 Mln tonnes or so in 2014 and for another that operating rate is seen growing faster after holidays. What’s worse, seasonal demands for rapeseed oil will routinely turn light when holidays end, therefore, rapeseed oil in a shorter term may be in a poor performance following futures.  

    Daily review on corn: today, prices for most domestic corn remain stable though some price up. Corn buying prices in Shandong deep processors mostly stay at 1,850-1,970 yuan/tonne, some up 14-20 yuan/tonne against yesterday. While the purchasing prices offered at Jinzhou port, Liaoning keep flat at 1,820-1,840 yuan/tonne (volume weight 690-700 g/L). Corn prices at Bayuquan ports remain stable, among which drying new corn of Liaoning and Jilin (moisture ≤15%, volume weight 690-700 g/L) keeps flat at 1,820-1,830 yuan/tonne. Corn prices at Shekou port, Guangdong are most unquoted, but some keep flat at 1,970-1,980 against yesterday. Corn buying and selling are still poor amid limited supplying as holidays atmosphere still lingers on market, but on the other hand, deep processors in the downstream have been gradually restored corn purchase after holidays, especially, businesses in North China these days lift corn prices to attract more supplying in time of low inventory levels. As the sales progress in the run-up to holidays is 6-12 percentage points faster than that in last year in wake of tight grain supply after holidays, corn prices are expected to remain strong later, however, poor feed consumption in the downstream slows down the consumption of corn feed. Attention should still be paid to any corn auctions after holidays. 

    Daily review on sorghum and barley: today, prices for imported sorghum keep firm where some ports price at 1,900 yuan/tonne (Tianjin, Nantong and Shanghai stop to report; Guangdong 1,900 yuan/tonne). At the same time, prices for imported barley remain stable, ranging from 1,810 to 1,850 yuan/tonne at main ports (Tianjin has not reported yet; Nantong offers 1,830-1,850 yuan/tonne; Shekou port in Guangdong 1,810 yuan/tonne). Though Chinese holidays are just over, grain prices at some ports remain unquoted with holiday atmosphere lingering on. Grains market in these days are fueled by rising corn prices in producing areas. Additionally, a campaign of “anti-dumping and anti-subsidy” has recently been launched by China’s Ministry of Commerce for American sorghum, resulting in market worries about soaring import costs of American sorghum later. Importers are now inclined to hold onto goods in hope for higher prices and in case of unavailable supply of lower costs, under such circumstances, sorghum overall may go strong for the time being. Market players can wait for new information for guidance.