Today (on Aug. 27th), trends for Chinese animal and plant protein, oils & oilseeds and grains are shown as follows: 

    Daily review on soybean meal: even though US soybean last Friday welcomed a small rebound, it pare gains on Globex today after US soybean production in Midwest according to Pro Farmer is said higher than USDA estimates. Meals today on DCE fall greatly as African swine fever (ASF) leads to outflows of speculative money, accordingly, soybean meal spots on the domestic market also come down yet with light turnover. Soybean meal prices in coastal areas range from 3,110 to 3,180 yuan/tonne, a drop of 20-30 yuan/tonne against last Friday (Tianjin prices 3,130 yuan/tonne, Shandong 3,110-3,170 yuan/tonne, Jiangsu 3,140-3,180 yuan/tonne, Dongguan 3,160-3,180 yuan/tonne, Guangxi 3,150-3,180 yuan/tonne). Demand in soybean meal is probable to be shrunk given weakened Brazilian real brings down basis and raisers now undersell live pigs intensively amid sprawling ASF. Add to that, mills' trouble in shipment, where some areas call for urgent deliveries, also sinks soybean meal spots further. Yet soybean meal spots shorter term is not to slump impressively if taken into account elevated import costs and scant soybean sources onwards. In the brewing of China-US trade war, soybean costs imported grow higher, yet what's really worrisome is that Brazilian soybean sales in the 4th quarter almost draw to the end and give way to traditional sales of US soybean in the months to come. Such being the case, declines in soybean meal spots are smaller than in futures with crushers' support for the bids. That being said, there still have limited upward potentials for soybean meal prices under bumper US soybean and sprawling ASF. To be honest, the after market of soybean meal to some extent depends on trade war, that is to say, soybean meal will be pushed up amid tight soybean sources if the trade war drags on, on the other side, soybean meal will be thrown into a bear market if the trade war is eased with supply and demand again being the focus. Buyers can wait and see for the moment or consider replenishment making upon low and stable prices. 

    Daily review on imported rapeseed meal: today, imported rapeseed meal prices come down, among which prices in coastal areas stand at 2,410-2,510 yuan/tonne, down 30-40 yuan/tonne (Great Ocean in Fangchenghai offers 2,470 yuan/tonne, down 30; Chinatex in Zhanjiang 2,470 yuan/tonne, down 30; Chinatex in Zhangzhou, Fujian 2,500 yuan/tonne, down 40). Built on surprisingly high operation rate in mills, rapeseed meal stocks last week in South China expanded to 37,000 tonnes with a weekly rise of 8%, but such high stocks drag down rapeseed meal performance when sprawling ASF batters market confidence and sinks meal demand. However, rapeseed meal spot prices will not fall significantly, but move sideways in the short term or even be expected to rebound in the after market. Elevated import costs amid trade spats and improved demand in rapeseed meal under expanded price disparity between it and soybean meal actually underpin its spot prices. Such being the case, buyers had better stay on the sidelines and make replenishment upon low and stable prices. 

    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 10,200 yuan/tonne; 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 ordinary SD with 65% protein content in Peru is 10,200 yuan/tonne; 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 48,000 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. In view of strong futures outside China's market and robust market demand, fishmeal shorter term is to maintain stable. 

    Daily review on soybeans: prices for imported soybeans drop steadily, where non-GM imported soybean prices at 3,680-3,980 yuan/tonne, some up 20 yuan/tonne from yesterday and GM imported soybeans are unquoted. In the brewing of China-US trade war, soybean costs imported grow higher, yet what's really worrisome is that Brazilian soybean sales in the 4th quarter almost draw to the end and give way to traditional sales of US soybean in the months to come. As such, importers have strong mindsets for soybean bids. According to Cofeed latest probe, soybean arrival of imports are forecast to be 8.479 Mln tonnes with total 133 vessels in August, 8 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 and put curbs on the rises. 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 production in Midwest reported by Pro Farmer is higher than USDA's forecast, reaching a record high of 53.0 bushels in yield. Today, soybean futures see a fall, and oils on DCE also evidently fall after a rise, followed by spot goods of soybean oil and palm oil, which attracts few dealings. Domestic soybean supply is adequate at present, meanwhile, crush volumes in oil mills reached a high of 1.91 Mln tonnes last week and soybean oils stock up to 1.62 tonnes. State Reserve Bureau is still carrying on the auctions, and under such oversupply pattern of oils, both domestic and overseas oils rebound. However, under constant trade disputes, climbing import cost and ongoing packing oil stockpiling before double holidays as well as market's concerns for the tighter fourth-quarter soybean supply, oil mills still support the price. Seen from those fundamentals, later market is not optimistic. Before the end of trade war, oil spot goods are predicted to have a callback though with a limited space , and the overall pattern of slow rises with fluctuations still remains. Buyers are suggested to wait and make proper replenishment at lows.  

    Today's soybean oil: main prices for GB grade-one soybean oil in coastal areas stay at 5,520-5,730 yuan/tonnes, down 30-60 yuan/tonne, (Tianjin traders offer 5,640-5,650 yuan/tonne, Rizhao traders 5,620 yuan/tonne, Zhangjiaang traders 5,730 yuan/tonne, Guangzhou traders 5,660-5,680 yuan/tonne). 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 4,850 and 4,900 yuan/tonne, down 20-80 yuan/tonne (Tianjin traders offer 4,840-4,850 yuan/tonne, down 60 yuan/tonne; Rizhao offer 4,870 yuan/tonne, down 50 yuan/tonne; Zhangjiagang traders offer 4,800 yuan/tonne, down 50 yuan/tonne; Guangzhou 4,900 yuan/tonne, down 20 yuan/tonne; Xiamen 4,870 yuan/tonne, down 80 yuan/tonne). 

    Daily review on imported rapeseed oil: prices for imported rapeseed oil slip, among which prices in coastal areas come into at 6,350-6,500 yuan/tonne with a reduction of 30-50 yuan/tonne (Shenheng in Dongguan, Guangdong 1901-240 yuan/tonne; Maple in Fangchenggang, Guangxi offers 1901-350 yuan/tonne; Fujian stops to quote). Overwhelming oil gluts weigh on rapeseed oil, with pressure from projected national auction and accumulated oil stocks last week-- 0.15 Mln tonnes by 10% in South China and 0.39 Mln tonnes in East China. Nonetheless, as no substantial progress was made in talks last week, the trade truce is hard to reach in a short time. As thus, rapeseed oil is expected to trend up after short-lived declines, underpinned by elevated import costs and peak stockpiling of small-packing oils under way. Buyers thereby had better make replenishment upon low prices or simply take a wait-and-see attitude towards market. 

    Daily review on corn: today, domestic corn prices move upward. Corn buying prices in Shandong deep processors mostly stay at 1,840-1,950 yuan/tonne, some up 6-50 yuan/tonne from last Friday. While main purchasing prices offered at Jinzhou port, Liaoning come into at 1,760-1,790 yuan/tonne for drying corn of year 2017, and 1,750 yuan/tonne (volume weight 700 g/L) for old corn. While naturally drying corn prices of Liaoning and Jilin at Bayuquan port are pegged at 1,760 yuan/tonne; 1,710-1,720 yuan/tonne for old corn (volume weight 700 g/L), basically being flat contrasting with last week. Second-class corn prices at Shekou port, Guangdong keep flat at 1,880 yuan/tonne from last Friday. Susceptible to continued rains these days, old corn sales and purchases are seen weak on the market, yet tight supply of new corn in the period pushes up corn prices. Given recovered corn auctioned on the market, market participants now bode well for corn performance. Meantime, increased goods replenishment among some businesses also favors corn prices. That being said, there still have limited upward potentials or corn prices factored in sufficiently ample supply but slack market demand. To be specific, supply though is assured when corn auction goes forward and new corn supply is around the corner, sprawling ASF leaves feed businesses to cautious purchases for corn feed. For all this, corn prices shorter term will go relatively strong, by the way, market attention should still be fixed on turnover of corn auctioned, supply of new corn and demand in downstream businesses. 

    Daily review on sorghum and barley: prices for imported sorghum at ports further pick up (US sorghum: Tianjin offers 2,180 yuan/tonne for raw sorghum, and 2,290 yuan/tonne for dried sorghum, both up 20; Nantong 2,090-2,100 yuan/tonne; Shanghai 2,120-2,130 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 2,560-2,600 yuan/tonne for raw sorghum and 2,640-2,660 yuan/tonne for dried sorghum). Barley prices at ports rise (Australian barley: Shandong offers 1,980-2,000 yuan/tonne, up 10; Nantong 2,000-2,020 yuan/tonne, up 10). Yet, sorghum sourced from the U.S. on China's market later may be sharply curtailed-- sorghum July imports reach the nadir in year 2018, 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.