Today (on May 4th), trends for Chinese animal and plant protein, oils & oilseeds and grains are shown as follows: 

    Daily review on soybean meal: US soybean closed overnight trading high since the talk between China and the US yesterday was said to be smooth according to a economist in White House. Nevertheless, such news exerts bearish pressure on domestic market, to illustrate, meal futures on DCE today come off low open, with which soybean meal spots domestically are also weighed down, and turnover is still not much. Soybean meal prices in coastal areas range from 3,070 to 3,130 yuan/tonne, a drop of 10-30 yuan/tonne against yesterday (Tianjin prices 3,180 yuan/tonne, Shandong 3,070-3,100 yuan/tonne, Jiangsu 3,080-3,100 yuan/tonne, Dongguan 3,100-3,120 yuan/tonne, Guangxi 3,080-3,120 yuan/tonne). To be sure, pressure from fundamentals greatly weighs on soybean meal prices for one reason that meal delivery is delayed by great damage in pigs industry and for another that more and more mills have to let plants idle in case of bloated stockpiles, especially in Shandong and Guangdong provinces, in detail, spots basis tumbles to a negative 100 in Shandong and Fuzhiyuan in Pearl River Delta, Guangdong is the only one left to single-line operation. Such being the case, China-US talks in progress matter a lot, and under such fundamentals, soybean meal may be pressured down if talks go smooth, or be boosted impressively if trade tension is heated up. Whereas, analysts reckon that such talks will be long-drawn-out, that is to say, talks for the moment may make little difference. Wisely, buyers may as well maintain a safe inventory level upon bargain hunting when prices go steady, and take care if chasing high. 

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal edge low, among which prices in coastal areas come into at 2,580-2,650 yuan/tonne with a reduction of 10-20 yuan/tonne over yesterday (Guangxi offers 2,600 yuan/tonne; Fuzhiyuan in Dongguan, Guangdong 2,660 yuan/tonne, down 10 yuan/tonne; Chinatex in Zhangzhou, Fujian 2,650 yuan/tonne, down 10 yuan/tonne). US soybeans ended overnight trading high, driven by technical buying and market optimistic attitudes toward talks between China and the US, the largest soybean importer worldwide. Since bloated soybean and rapeseed meals are mostly seen in domestic mills due to poor demand in end users and domestic new rapeseed is to sufficiently supply the market, meals overall are overwhelmed in domestic market amid as high as 28.5 Mln tonnes of soybean arrivals during May-to-July period. On the whole, rapeseed meal is to move sideways in a tight range tracking futures, therefore talks in progress should be fixed on for guidance. 

    Daily review on fishmeal: today, prices for imported fishmeal edge lower, yet prices are negotiable upon transaction and shipments at ports are general. Northern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 11,100-11,200 yuan/tonne; 12,100-12,200 yuan/tonne for Japanese SD with 67% protein content; 12,400 yuan/tonne for super steam fishmeal with 68% protein content. Southern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 10,900 yuan/tonne; 11,800 yuan/tonne for Japanese SD with 67% protein content; 12,200 yuan/tonne for super steam fishmeal with 68% protein content. Port stocks: Hangpu has 40,000 tonnes, Fuzhou 34,000 tonnes, Shanghai 32,000 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 Peru's ordinary SD with 65% protein content stays at USD $1,420 per tonne, USD $1,580 per tonne for super steam fishmeal with 68% protein content; the offer for Chile ordinary SD with 65% protein content is USD $1,550 per tonne, USD $1,650 per tonne for excellent fishmeal with 68% protein content. As fishmeal futures in the outer remain weak under the smooth fishing in Peru, fishmeal holders are inclined to make shipments amid poor domestic demand, under such circumstances, fishmeal is probable to be pressured down further.  

    Daily review on soybeans: imported soybeans price down today, ranging from 3,430 to 4,290 yuan/tonne, down 20-100 yuan/tonne. Given Mnuchin, the U.S. President's Special Envoy and Minister of Finance, leads a U.S. delegation to visit China on May 3rd and 4th, trade spat between China and the US is under spotlight. Market optimistic attitudes toward talks between China and the US somewhat ease trade tension, and therefore prices for imported soybeans are seen falling down, otherwise, maket participants had better keep an eye on new progress of the trade spat later. 

    Daily review on oils: US soybeans ended overnight trading high, driven by technical buying and market optimistic attitudes toward talks between China and the US, the largest soybean importer worldwide. Meantime, US soybean oil was also fueled by higher-than-expected export data on the week though soybean meal was seen falling down. Accordingly, oils on Dalian Commodity Exchange pare gains mildly, with which domestic soybean oil and palm oil spots go down. Yet, turnover upon spots is still not much though lower basis still attracts deals. The rallying US soybeans in market are attributed to impressive damage of Argentina's soybean and unholy rains in producing areas to slow down the harvest progress. Furthermore, affected by large damage in pigs raising, more and more mills now have to let plants idle in case of bloated stockpiles, especially in Shandong and Guangdong provinces. That in return does good to the consumption of soybean oil in stockpiles and therefore curbs decline in oil prices, particularly, traded volumes yesterday stood at 59,400 tonnes amid crushers' support. Notably, overwhelming glut of oils will maintain factored in as high as 28.5 Mln tonnes of soybean arrivals in May-to-July period, if it turns out to be the case, oils have limited potential to price upward by jumps or leaps, instead, move sideways frequently tracking futures. Wisely, businesses are suggested to take a light inventory level and fix on China-US talk in progress. 

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,570-5,730 yuan/tonne, falling 10-30 yuan/tonne (Tianjin traders offer 5,700-5,710 yuan/tonne, Rizhao traders 5,680 yuan/tonne, Zhangjiagang traders 5,730 yuan/tonne, Guangzhou traders 5,570-5,580 yuan/tonne). 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 4,940 and 5,060 yuan/tonne, a decline of 20-50 yuan/tonne (Tianjin traders offer 5,050-5,060 yuan/tonne, a drop of 50 yuan/tonne; Huanghai traders in Rizhao offer basis P1809+100; Zhangjiagang traders offer 5,030 yuan/tonne, a decline of 20 yuan/tonne; Guangzhou 4,940 yuan/tonne; Xiamen traders have not reported). 

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil slide, among which prices in coastal areas are 6,260-6,430 yuan/tonne, down 10-30 yuan/tonne (Maple in Fangchenggang, Guangxi offers 1809-180; Yinxiang in Xiamen, Fujian 1809-200; Fuzhiyuan in Dongguan, Guangdong offers 6,330 yuan/tonne, down 20 yuan/tonne). Albeit rallies in US soybeans last night, ample supply of oils and relatively large spreads between rapeseed oil and its competing oils, soybean oil and palm oil, do little good to the consumption of rapeseed oil though stockpiles keep accumulating backed by lucrative crush margins, lifted processing capacity and large soybean arrivals in May-July period. Shorter term, rapeseed oil is mainly to trade sideways, in that market participants had better keep an eye on the final result of talks between the world's two biggest economies for guidance. 

    Daily review on corn: today, domestic corn prices remain stable with weak momentum for growth. Corn buying prices in Shandong deep processors mostly stay at 1,840-1,920 yuan/tonne, some further down 6-10 yuan/tonne from yesterday. While purchasing prices offered at Jinzhou port, Liaoning are mostly around 1,740 yuan/tonne, down 10 yuan/tonne from yesterday. Drying corn of Liaoning and Jilin at Bayuquan port (moisture ≤ 15%, volume weight 690-700 g/L) are pegged at 1,710-1,720 yuan/tonne, a tad lower than yesterday. Corn prices at Shekou port, Guangdong keep flat at 1,840 yuan/tonne from yesterday. The fifth round of corn auction is publicized amid previous auctioned corn supplying in market, in detail, about 8 Mln tonnes on May 10th and 11th, and if it turns out to be the case, corn supply later will be sufficiently large. As a result, businesses in the downstream increase caution about purchases in view of sufficiently ample supply. That no doubt drags down corn prices under such considerable pressure which stems from government's dumping of large quantities of grains. Yet, transaction prices still give support to the reserved corn in market, and with the recovered rigid demand for high-quality corn in feed sectors later used for feed ingredients amid its short supply, good-quality corn may still take the priority in prices.  

    Daily review on sorghum and barley: today, prices for imported sorghum keep firm, among which US sorghum prices at 2,000-2,220 yuan/tonne (US sorghum: Tianjin 2,200-2,220 yuan/tonne in part, being flat; Nantong 2,120 yuan/tonne, being flat; Guangdong 2,060 yuan/tonne, but 2,000-2,020 yuan/tonne upon transaction; Australian sorghum: Tianjin offers 2,500 yuan/tonne and some prices are negotiable upon transaction, Shandong 2,560 yuan/tonne, being flat; domestic sorghum: Heilongjiang 2,860 yuan/tonne, being flat). At the same time, prices for imported barley decline steadily, about 1,790-1,940 yuan/tonne at main ports (Shandong offers 1,940 yuan/tonne, being flat; Nantong 1,910 yuan/tonne, down 20 yuan/tonne; Guangdong 1,790-1,810 yuan/tonne, down 10 yuan/tonne). Since imports of sorghum later would be few under the impact of “anti-dumping and anti-subsidy” wineries strongly intend to purchase imported sorghum for the moment and holders otherwise prefer to hoard goods and price up, in this case, prices for sorghum at northern ports keep high today. Yet on the other hand, fragile demand for feed ingredients and declining corn prices weigh on barley, and correspondingly barley at southern ports edges down. On the whole, sorghum and barley are to remain robust at a high level rather than suffer from big ups and downs amid uncertainty in market.