Today (on Aug. 23rd), trends for Chinese animal and plant protein, oils & oilseeds and grains are shown as follows: 

    Daily review on soybean meal: due to favorable US soybean weather, the negative prospect of China-US talk, and a higher US soybean production estimate than last year from Pro Farmer, US soybean ended down sharply last night. Today, meals on DCE fall after a rise, with some China's soybean meal spot goods dropping. Coastal soybean meal prices range from 3,150 to 3,240 yuan/tonne, a fluctuation of 10-20 yuan/tonne in part (Tianjin prices 3,200 yuan/tonne, Shandong 3,150-3,200 yuan/tonne, Jiangsu 3,170-3,190 yuan/tonne, Dongguan 3,220-3,240 yuan/tonne, Guangxi 3,220-3,230 yuan/tonne). The outbreak of African swine fever in Wenzhou, Zhejiang and its nationwide spread push pig farmers to dump their live hogs centrally, which will cut demands for soybean meals. Besides, oil mills have some difficulties in shipment, among which some areas like Shandong are rush in deliveries, so soybean meal spot goods have declined modestly with fluctuations. Trade war is still escalating for today China and the US officially impose a tit-for-tat 25% additional tariff on $16 Bln imports, the second tranche of the $50 Bln products. Import costs are also climbing due to RMB's devaluation (to 6.87 currently) while oil mills are still supporting the price. So soybean meal spot goods are predicted to have a limited callback space. Under the influence of bumper US soybean harvests and African swine fever, soybean meals do not have a strong upward momentum, so short-term market may fluctuate at a narrow range. Buyers are suggested to wait and see. 

    Daily review on imported rapeseed meal: imported rapeseed meal prices oscillate in a stable pace, among which prices in coastal areas stand at 2,450-2,560 yuan/tonne, a variation of 10-20 yuan/tonne (Great Ocean in Fangchenghai offers 2,500 yuan/tonne, up 20; Fuzhiyuan in Dongguan 2,560 yuan/tonne; Chinatex in Zhangzhou, Fujian 1809+0 upon basis). In effect, rapeseed meal spot prices will go on uptrend provided if the trade war continues. Feed mills revise up rapeseed meal proportion in feed ingredient after price disparity between it and its rival soybean meal expands to a fresh high in recent years, additionally, improved sales of meal feed ingredient in aquatic and duck raising also push up demand for rapeseed meal. That being said, surprisingly high operation rate and accumulation stocks both of soybean meal and rapeseed meal will somehow expose rapeseed meal to frequent oscillations. Wisely, buyers had better stay on the sidelines and make replenishment upon low prices. 

    Daily review on fishmeal: today, prices for imported fishmeal pick up steadily, yet prices are negotiable upon transaction and shipments at ports are fairly good. Northern ports: fishmeal price for Peru ordinary SD with 65% protein content is 10,200 yuan/tonne, up 200; 11,400-11,500 yuan/tonne for Japanese SD with 67% protein content; 11,700-11,800 yuan/tonne for super steam fishmeal with 68% protein content. Southern ports: fishmeal price for Peru ordinary SD with 65% protein content is 10,200 yuan/tonne, up 200; 11,300 yuan/tonne for Japanese SD with 67% protein content; 11,600 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 7,000 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. Given tight ordinary fishmeal in supply, holders are now in favor for bid support, meantime fair demand also bolsters fishmeal on the market. Shorter term, fishmeal is to maintain stable.  

    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. Trade war is still escalating for today China and the US officially impose a tit-for-tat 25% additional tariff on $16 Bln imports, the second tranche of the $50 Bln products). Import costs are also climbing due to RMB's devaluation (to 6.87 currently), while oil mills have strong mindset to support goods bids. 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: thank to improved weather conditions, crop production this year is seen far above a year earlier according to Pro Farmer. That further brings down US soybeans in trading, followed by small recession of oils on DCE today. Domestically, soybean oil and palm oil spots come down, and as most buyers maintain wait-and-see attitudes toward market, turnover is no doubt light. A tit-for-tat tariff of 25% between China and the US takes effect this day on goods worth $16 billion, and that lingering trade conflicts also exert pressure on CBOT futures. As such, such bearish fundamentals as heavy stocks of soybean oil and rapeseed oil, ongoing auctions of State Reserve Bureau, and high crush volume in oil mills (2 Mln tonnes expected in the next two weeks) hover above oil market and expose oils to frequent oscillations. Yet till the trade truce, oils probably trend up amid oscillations on the bottom. Amid the trade war, elevated import costs after RMB rate fell to 6.87, stockpiling for packing oils under way and probably tight soybean sources in the 4th quarter give support to oil performance. Buyer are recommended to stay on the sidelines or make proper replenishment at lows especially when there are sighs for price rebound.  

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,640-5,700 yuan/tonnes, down 10-50 yuan/tonne, (Tianjin traders offer 5,670-5,690 yuan/tonne, Rizhao traders 5,640 yuan/tonne, Zhangjiaang traders 5,700 yuan/tonne, Guangzhou traders 5,670-5,690 yuan/tonne). 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 4,850 and 4,920 yuan/tonne, down 10-60 (Tianjin traders offer 4,900-4,920 yuan/tonne, down 20; Zhangjiagang traders offer 4,850 yuan/tonne, down 10; Guangzhou 4,900 yuan/tonne, down 60; Rizhao and Xiamen stop to quote). 

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil drop, among which prices in coastal areas are 6,380-6,550 yuan/tonne with low turnover, down 30-50 (Shenheng in Dongguan, Guangdong offers 1901-240 yuan/tonne; Maple in Fangchenggang, Guangxi offers 1901-350; Fujian stops to quote). Overwhelming oil supply drags down rapeseed oil, with pressure from high stockpiles of soybean oil and rapeseed oil, projected auction and high oilseed crushing up to 0.1 Mln tonnes these two weeks with guaranteed sources. Furthermore, big price rises in rapeseed oil also lead to slack turnover, therefore shorter term, rapeseed oil is likely to trade sideways frequently in line with futures. Yet as trade truce is hard to reach in a short time, rapeseed oil overall will trend up amid oscillations, buyers thereby had better make replenishment upon low prices or simply take a wait-and-see attitude towards market. 

    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 1,820-1,920 yuan/tonne, some edging down. 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 keep flat at 1,860-1,870 yuan/tonne from yesterday. Seeing corn price rises upon auction and turnover, market participants now bode well for corn market with recovered confidence. Meantime, good rigid demand in the period also favors corn market. Yet, corn prices are not to rise by leaps and bounds factored in sufficiently ample supply but lackluster corn feed demand in pig industry. To be specific, corn auction goes forward with projected 8 Mln tonnes on Aug. 30th-31st, and for another, sprawling African swine fever found in Wenzhou, Zhejiang pushes growers to undersell live pigs intensively. For all this, corn prices shorter term will go stable with good momentum for growth, by the way, market attention should still be fixed on turnover of corn auctioned. 

    Daily review on sorghum and barley: prices for imported sorghum at ports further maintain stable (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; 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 2,560 yuan/tonne for raw sorghum and 2,640 yuan/tonne for dried sorghum). Barley prices at ports keep firm (Australian barley: Shandong offers 1,970-1,980 yuan/tonne; Nantong 1,990-2,000 yuan/tonne; Guangdong 1,900 yuan/tonne, up 30; Zhangjiagang stops to quote. Franch barley: Guangdong 1,830-1,850 yuan/tonne). 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. Raising corn prices these two days boost market confidence, and sorghum and barley shorter term will mainly go strong.