Today (Aug. 21st), the market for oilseeds and oils in China is shown as follows:

 

Imported soybean: Imported soybean price is steady today, among which Russian soybean is unchanged from yesterday at 4150 yuan/tonne, and Canada soybean is unchanged from yesterday at 4880 yuan/tonne. China's market is propped up when imported and distributed soybean in Tianjin port is small and US soybean import is restricted amid U.S.-China trade tension. However, the market is still under the negative situations that the demand is normal and the soybean supply globally is ample due to the bumper crop of South America soybean, which China is active in purchasing. Short-term prices likely maintain stable.

Cottonseed: Cottonseed prices today are partially stable with most purchase activities suspending, due to the declining supply of cottonseed, and a certain period before the marketing of new cottonseed. However, the cottonseed trading is not much as only a few mills are operating due to poor crush margin. Short-term cottonseed is likely to go strong. Buyers are suggested to make a small replenishment upon low price, and not chase high.

Summary: U.S. soybeans closed with gains as the USDA in a weekly crop progress report rated 1 percentage point lower to 53% of U.S. soybeans in good-to-excellent condition, but oil futures actually hovers under the previous close, in spite of some rises, on the Dalian Commodity Exchange (DCE) today. In the spot market, soybean oil and palm oil partially fluctuate by 10-50 yuan/tonne in tepid trading. Mills have maintained low operation rate due to swelling soybean meal inventories and the influence of typhoon, while the market is stocking up for the holidays in full swing, so soybean oil inventory declined by 3.3% weekly to 1.33 mln tonnes. And palm oil inventory also fell by 5% weekly to 528,000 tonnes weekly. Moreover, the relationship between China and the United States are clouded by trade disputes. Mills are highly propping up prices, so the oil market is still on a strong trend. However, the window of import profits on the DCE has been opened as it is only 6,070 yuan/tonne for Argentine soybean oil for October-December shipments, which is predicted to stimulate the imports. And the delivery of soybean oil has also slowed down in these few days. Overall, short-term oil market may follow futures to fluctuate frequently, so buyers need to keep good balance of buying and selling. 

Soybean oil: GB Grade I soybean oil is mainly priced at 6,000-6,280 yuan/tonne in domestic coastal areas, some fluctuating by 10-50 yuan/tonne. (Tianjin 6,020-6,030, Rizhao 6,000, Zhangjiagang 6,280, and Guangzhou 6,120). 

Palm oil: 24-degree palm oil is mainly priced at 4,750-4,890 yuan/tonne in coastal areas, partially down by 10-70 yuan/tonne. (Tianjin 4,880-4,890, flat; Rizhao 4,860, down 70; Zhangjiagang 4,770, down 10; Guangzhou 4,750, flat; and Xiamen not offered).

Imported rapeseed oil: Imported rapeseed oil steadily fluctuates in price today, of which it goes ups and downs by 10-20 yuan to settle at 7,340-7,450 yuan/tonne in coastal areas. (Fujian 7,340, down 10; Guangdong not offered; and Guangxi 7,700, stable). The import of rapeseed and rapeseed oil from Canada is still confronted with pending issues between Beijing and Ottawa, so rapeseed supply in China will get tightened. Besides, domestic oils inventories have dropped last week since buyers are busy stocking up packing oil ahead of the festivals. Meanwhile, the weather speculation on U.S. soybean crops may come back at any time, and the market is now watching the frost damage in early autumn. In addition, it is less likely that China and the United States will settle their trade disputes in the short period. Therefore, rapeseed oil market is buoyed to go strong for the moment. But its demand is influenced by its large price gap with soybean oil, so that its price rise is smaller that that of soybean oil. As futures prices are fluctuating, buyers are suggested not to drive up prices excessively.

Cottonseed oil: Cottonseed oil today stays stable when operation rate and stock are both low; oil market is in a busy season of restocking for packing oil amid many orders waiting for delivery. However, the market is weighted on by the limited consumption for cottonseed oil as blending oils. The stable oil commodities today is little changed. Short-term cottonseed oil is likely to stay stable with some fluctuations in narrow range.