Today (on Aug. 21st), trends for Chinese animal and plant protein, oils & oilseeds and grains are shown as follows: 

    Daily review on soybean meal: US soybean gained in overnight trading on grounds that resumed talks with Washington may contribute to US soybean imports. Whereas, eased trade tensions put China's market on a bearish stance, where meals on DCE today fall further in dominant contracts though the downside is obviously eased, and soybean meal spots also price down steadily. Honestly speaking, lower prices still attract deals. Soybean meal prices in coastal areas range from 3,130 to 3,220 yuan/tonne, steadily down10-20 yuan/tonne (Tianjin prices 3,170 yuan/tonne, Shandong 3,130-3,210 yuan/tonne, Jiangsu 3,200-3,220 yuan/tonne, Dongguan 3,210-3,220 yuan/tonne, Guangxi 3,220-3,240 yuan/tonne). Owing to lackluster demand but accumulating stocks, soybean meal spots are now under pressure and are to pare gains. Soybean meal demand goes lackluster after pig raisers undersell fattening pigs at lows subject to sprawling African swine, yet soybean meal in costal areas is now up to 1.26 Mln tonnes by 1.5% on the week and 22% on the year as operation rate surges with assured 7.09 Mln tonnes of soybean sources, up 1.5% on the week and 23% on the year. Nonetheless, declines in soybean meal spots will not be impressive, as crushers are inclined to underpin goods bids in view of uncertainties in trade conflicts and weather condition for US soybean growth. That is, soybean meal overall will trend up, buyers thereby can take chance to make small replenishment upon lower prices if out of stock, and keep an eye on if chasing high bids. 

    Daily review on imported rapeseed meal: imported rapeseed meal prices pick up, among which prices in coastal areas stand at 2,440-2,550 yuan/tonne, up 10-20 yuan/tonne (Great Ocean in Fangchenghai offers 2,480 yuan/tonne; Fuzhiyuan in Dongguan 2,540 yuan/tonne, up 10 yuan/tonne; Chinatex in Zhangzhou, Fujian 2,550 yuan/tonne). Both RMB devaluation and China's action to substitute soybean meal in feed ingredient with alternative mixed meals are favorable for rapeseed meal in the after market, if China's trade spats with Washington drag on. However, stumbled by such fundamentals as heavy meal stocks and ample oilseed supply, rapeseed meal shorter term will not rebound largely though still go upside, but to trade sideways narrowly in line with futures till the end of trade conflicts. Wisely, buyers had better make small replenishment upon low prices and maintain cautious if chasing high. 

    Daily review on fishmeal: today, prices for imported fishmeal keep firm, yet prices are negotiable upon transaction and shipments at ports are fairly good. Northern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 10,000 yuan/tonne; 11,400-11,500 yuan/tonne for Japanese SD with 67% protein content; 11,800-11,900 yuan/tonne for super steam fishmeal with 68% protein content. Southern ports: fishmeal price for ordinary SD with 65% protein content in Peru is 10,000 yuan/tonne; 11,300 yuan/tonne for Japanese SD with 67% protein content; 11,800 yuan/tonne for super steam fishmeal with 68% protein content. Port stocks: Hangpu has 47,000 tonnes, Fuzhou 35,000 tonnes, Shanghai 47,000 tonnes, Tianjin 1,000 tonnes, Dalian 6,000 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 $1,360 per tonne, USD $1,600 per tonne for super steam fishmeal with 68% protein content; the offer for Chile ordinary SD with 65% protein content is USD $1,510 per tonne, USD $1,610 per tonne for excellent fishmeal with 68% protein content. Considering stable futures outside domestic market and good market demand, goods holders turn a wait-and-see attitude toward market with support for fishmeal bids, such being the case, price variation of fishmeal is limited. 

    Daily review on soybeans: prices for most imported soybeans keep stable, where non-GM imported soybean prices at 3,500-3,970 yuan/tonne, and GM imported soybeans are unquoted. According to Cofeed latest probe, soybean arrival of imports are forecast to be 8.479 Mln tonnes with total 133 vessels in August, 8.5 Mln tonnes expected in September, and 7.6 Mln tonnes projected in October. Such ample supply of imported soybeans no doubt will further inflict on the market. Narrowed price gap between domestic soybeans and imported soybeans also undermines price competitiveness imported soybeans, and limited delivery also puts bearish pressure on imported soybeans for distribution. Yet, with big conflicts between China and the US toward bilateral trade, trade truce will be hard to reach, if such, forward soybean supply will be tight especially when Brazilian soybeans are sold out in the 4th quarter. On the whole, imported soybeans for distribution in the short run will probably trade sideways narrowly and steadily the time market supply & demand balance struggles in trade spats. 

    Daily review on oils: US soybean rose from its closing trade last night, for the upcoming trade talks between China and the US might resume US soybean imports to China. But such an easing prospect of trade disputes is bearish to China's market, so oils on DCE today have a modest price callback, with slightly decreasing prices of national soybean oil and palm oil spot goods further to attract some purchases at lows , yet at a small volume on the whole. China-US talk this week is predicted to fall flat due to extensive conflicts between these two countries. In addition, import costs will continue to soar due to the possible RMB devaluation, whilst demand on oils gets better and oil mills are in for price lifting as peak season of packing oil stockpiling before double festivals is coming. Therefore, the overall oil market is expected to trend up amid fluctuations. But this upside potential will be restricted by the existing bearish stance of fundamentals like soaring stocks of soybean oil and rapeseed oil and ongoing auctions of State Reserve Bureau, during which the crush volume in oil mills may reach 2 Mln tonnes in the next two weeks. Buyer shall keep the balance of buying and selling, and make proper replenishment on the dips when prices are adjusted rather than drive prices up excessively.  

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,650-5,730 yuan/tonnes, some down 10-20 yuan/tonne, (Tianjin traders offer 5,680-5,690 yuan/tonne, Rizhao traders 5,650 yuan/tonne, Zhangjiagang traders 5,730 yuan/tonne, Guangzhou traders Y1901-200). 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 4,910 and 4,970 yuan/tonne, down 10-30 yuan/tonne (Tianjin traders offer 4,910-4,920 yuan/tonne, a drop of 20 yuan/tonne; Rizhao offer 4,970 yuan/tonne; Zhangjiagang traders offer 4,920 yuan/tonne, a decline of 30 yuan/tonne; Guangzhou 4,920 yuan/tonne, down 10 yuan/tonne; Xiamen 4,950 yuan/tonne). 

    Daily review on imported rapeseed oil: prices for imported rapeseed oil drop, among which prices in coastal areas are 6,380-6,500 yuan/tonne with low turnover, down 30-50 yuan/tonne (Shenheng in Dongguan, Guangdong offers 1901-240 yuan/tonne; Maple in Fangchenggang, Guangxi offers 1901-350; Fujian stops to quote). Though overwhelming oil supply drags down rapeseed oil, with pressure from scheduled auction tomorrow and high stockpiles of soybean oil (1.61 Mln tonnes) and rapeseed oil (0.53 Mln tonnes), raised import costs and stockpiling for small-packing oils under way underpin rapeseed oil performance. In other words, rapeseed oil will trend up after short-lived drops, therefore buyers are suggested to make proper replenishment upon lower and stable prices. 

    Daily review on corn: corn prices today on the domestic market maintain stable with good momentum. Corn buying prices in Shandong deep processors mostly stay at 1,820-1,920 yuan/tonne, some up 6-10 yuan/tonne. While main purchasing prices offered at Jinzhou port, Liaoning come into at 1,760-1,790 yuan/tonne (volume weight 700 g/L), and 1,730 yuan/tonne for old corn. While drying corn prices of Liaoning and Jilin (volume weight 700 g/L) at Bayuquan port are pegged at 1,720 yuan/tonne; 1,740-1,750 yuan/tonne for naturally dried corn (moisture 13%, volume weight 720-740 g/L); 1,700-1,710 yuan/tonne for old corn (volume weight 650-720 g/L, mildew 3-4), unchanged from yesterday. Second-class corn prices at Shekou port, Guangdong settle at 1,850-1,870 yuan/tonne, up 10 yuan/tonne from yesterday. Market expects higher prices for new corn this year, on grounds that parched Jinlin and Liaoning provinces earlier, to a large extent, may lead to a lower-than-expected corn production. Given increasing traded volume for corn tentatively reserved in auction and good rigid demand on the market, corn prices upon turnover ramp up. Yet, fundamentals still put a cap on corn market factored in sufficiently ample supply but cautious buying and lackluster demand among downstream businesses. To be specific, ongoing auction of corn reserved adds sufficiency to corn supply. For all this, corn prices shorter term will trade sideways slightly with strong momentum for growth. Notably, susceptible to typhoon “Rumbia” and waterlogging therefrom, new corn in main corn belt has appeared a certain lodging, in addition, growers should also keep corn away from pests. Attention should still be paid to corn auction in market and downward demand.  

    Daily review on sorghum and barley: prices for imported sorghum at ports further pick up (US sorghum: Tianjin offers 2,160 yuan/tonne for raw sorghum, and 2,270 yuan/tonne for dried sorghum; Nantong 2,090 yuan/tonne; Shanghai 2,130 yuan/tonne, up 30; Guangdong 2,050 yuan/tonne. Australian sorghum: Tianjin offers 2,360 yuan/tonne for raw sorghum and 2,460 yuan/tonne for dried sorghum; Qingdao 2,400 yuan/tonne for raw sorghum, and 2,500 yuan/tonne for dried sorghum; Shanghai 2,400 yuan/tonne. Domestic sorghum: Changchun in Jilin 2,640 yuan/tonne; Daqing in Heilongjiang offer 2,600 yuan/tonne; Qiqihar 2,600 yuan/tonne; Chifeng 2,780 yuan/tonne for dried sorghum; Hinggan League 2,600 yuan/tonne for raw sorghum and 2,680 yuan/tonne for dried sorghum). Barley at ports prices up (Australian barley: Shandong offers 1,970-1,980 yuan/tonne; Nantong 1,990-2,000 yuan/tonne, up 20; Guangdong 1,850-1,870 yuan/tonne, Zhangjiagang stops to quote). Yet, sorghum sourced from the U.S. on China's market later may be sharply curtailed, whilst costs for Australian sorghum also remain high for the present. That leads to strong willingness for higher offers among importers in case of unavailable low costs for grain sources. Therefore raising sorghum and barley these two days boost market confidence, and shorter term will mainly go on a strong note.