Daily review on soybean meal: US soybeans still ended low last night, yet soybean meal futures on Dalian Commodity Exchange today goes up despite low opens and its spots are mostly stable amid some variations. Turnover overall is not much when Dalian meal goes up even though lower prices do attract some deals. Soybean meal prices in coastal areas range from 3,150 to 3,250 yuan/tonne, a variation of 10-20 yuan/tonne against yesterday (Tianjin prices 3,250 yuan/tonne, Shandong 3,170-3,220 yuan/tonne, Jiangsu 3,200-3,220 yuan/tonne, Dongguan 3,220-3,240 yuan/tonne, Guangxi 3,230-3,250 yuan/tonne). Though US soybean prices are supported by market worries about soybean production losses in parched Argentina, technical adjustments still appear after continuous rises of US soybeans. Accordingly, soybean meal consumption is not much when pig rising becomes unprofitable after great tumbles and aquaculture is in off-season period, and what’s worrisome is that monthly soybean arrivals in April-to-June period may probably reach 9Mln tonnes. On the very note, market players mostly switch to the bullish stances about the report released by USDA, if proven to be true, soybean meal in a near future will further price up along with persisting weather speculation. Wisely, buyers may as well maintain a safe inventory level or stand by if they have stocks at hand rather than chase high, and pay attention to tomorrow’s USDA report.  

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal go steady amid some fluctuations, among which prices in coastal areas stand at 2,500-2,640 yuan/tonne with a fluctuation of 10-20 yuan/tonne (Guangxi offers 2,580 yuan/tonne, down 20 yuan/tonne; Guangdong 2,640 yuan/tonne; Fujian 2,600 yuan/tonne). The ongoing drought spell in Argentina is likely to put its soybean output to a six-year low, and to be honest, its rival US soybean will keep on strong momentum in market, consequently giving support to rapeseed meal prices. Poor demand will otherwise put a cap on its price upside, therefore attention should be paid to the supply/demand report released by USDA on this Friday. 

    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 27,000 tonnes, Fuzhou 32,000 tonnes, Shanghai 19,000 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 $1,570 per tonne, USD $1,730 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. Although lowered prices in the outer during the presale period weigh down fishmeal in market, relatively low inventory levels at home still help its prices to go stable.  

    Daily review on soybeans: due to a strict investigation by State Commodity Inspection Department, imported soybeans for distribution at Qingdao and Rizhao ports remain unquoted. Imported soybeans for distribution are markedly restricted in food-grade products circulation for port inspections in consideration of ample domestic soybean supply. market players are not optimistic about its performance even when trades are allowed at ports. Attention should still be paid to port inspections and soybean arrivals. 

    Daily review on oils: US soybeans and soybean meal overnight ended low for the reason that traders rushed to positions adjustment seeing March supply/demand report by US Department of Agriculture was to be released. Accordingly, oil futures on Dalian Commodity Exchange today pare gains, with which domestic soybean oil and palm oil spots both go down, yet turnover is not much. In recent two days, oils futures at home show a poor performance due to the technical adjustment, but as drought spell continues in Argentina, US soybeans keep strong overall. In real terms, oils in market are not likely to fall impressively when soybean oil falls to 1.39 Mln tonnes in stocks. Wisely, market insiders are suggested to focus on USDA newest report for guidance, and if the report shows a bullish stance, oils in market will overall keep strong despite small price downside. Buyers may as well make replenishment upon bargain hunting when future decline goes steady. 

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,650-5,800 yuan/tonne, down 20-90 yuan/tonne (Tianjin traders offer 5,790-5,800 yuan/tonne, Rizhao traders 5,800 yuan/tonne, Zhangjiagang traders 5,800 yuan/tonne, Guangzhou traders 5,650 yuan/tonne). 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,200-5,280 yuan/tonne, some down 10 yuan/tonne (Tianjin traders offer 5,270-5,280 yuan/tonne, down 10 yuan/tonne; Rizhao traders stop to report; Zhangjiagang traders offer 5,280 yuan/tonne, being flat; Guangzhou 5,200 yuan/tonne; Xiamen 5,260 yuan/tonne, down 10 yuan/tonne). 

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil drop steadily, among which prices in coastal areas are 6,250-6,440 yuan/tonne, some down 10-20 yuan/tonne (Great Ocean in Fangchenggang, Guangxi offers 6,350 yuan/tonne; Fujian stops to report; Shenheng in Dongguan, Guangdong offers basis 1805-60 for April delivery). Rapeseed oil prices further go up as severer and severer drought in Argentina’s soybean growing areas boosts US soybeans, furthermore, its price upside will continue till the end of weather speculation when rapeseed oil stocks in coastal areas both come down amid lower processing capacity after holidays in oil mills. But notably, supply pressure will be hard to alleviate factored in large quantities of soybean arrivals in the second quarter, therefore, attention should be paid to the USDA report this Friday.  

    Daily review on corn: today, part of domestic corn prices further go up, but overall price upside is slowed down. Corn buying prices in Shandong deep processors mostly stay at 1,920-2,020 yuan/tonne, some up 10-40 yuan/tonne from yesterday. While purchasing prices offered at Jinzhou port, Liaoning are mostly around 1,900-1,930 yuan/tonne (volume weight 690-710 g/L), being unchanged from yesterday. Drying corn of Liaoning and Jilin at Bayuquan ports (moisture ≤ 15%, volume weight 690-700 g/L) are pegged at 1,910 yuan/tonne, a tad higher than yesterday upon the highest price. Corn prices at Shekou port, Guangdong stay at 2,050 yuan/tonne, remaining flat over yesterday. Corn surplus in northeastern corn belt basically bottoms out for corn supply is quite tight, contributed by farmers’ and traders’ incentives to hold onto goods under the impact of “cheap sale” but on the other hand, deep processors which have a low inventory level and some feed sectors in the sale areas which have rigid demand for corn further raise corn prices when facing with deficient corn arrivals. On the whole, corn prices will keep rising in time of tight supply unless large-scale auctions are launched by State Reserves Bureau. And with rumors about corn auctions going around, attention should be paid to later polices about corn auctions in case of any risks therefrom. 

    Daily review on sorghum and barley: today, imported sorghum further turn stable where main ports price at 1,950-1,970 yuan/tonne (Tianjin offers 1,960 yuan/tonne; Qingdao 2,000 yuan/tonne; Nantong 1,950 yuan/tonne; Shanghai stops to report; Guangdong 1,960-1,970 yuan/tonne). At the same time, prices for imported go steady, about 1,860-1,880 yuan/tonne at main ports (Tianjin has not reported yet; Nantong offers 1,880 yuan/tonne, Guangzhou 1,860 yuan/tonne). Grains market is further fueled by rising corn prices in producing areas. Additionally, imports of sorghum from America will fall impressively for the campaign of “anti-dumping and anti-subsidy” has been launched by China’s Ministry of Commerce for American sorghum. Importers are now inclined to hold onto goods in hope for higher prices and in case of unavailable supply of lower costs and in view of upside-down sorghum prices at home and abroad, under such circumstances, grains overall may go strong. Yet notably, market buyers are probably inclined to stand by when grains prices reach a fresh high, then price upside of spots may be capped. Market players can wait for new information for guidance.