Daily review on soybean meal: US soybeans continued to climb overnight, while soybean meal in DCE today ends lower after higher opens where domestic soybean meal spots rise steadily. To some extent, lower prices and lower forward basis will attract some deals. Soybean meal prices in coastal areas range from 2,970 to 3,050 yuan/tonne, steadily rising 10-20 yuan/tonne(Tianjin prices 3,040 yuan/tonne, Shandong 3,010-3,030 yuan/tonne, Jiangsu 3,000-3,010 yuan/tonne, Dongguan 3030-3050 yuan/tonne, Guangxi 3,030-3,060 yuan/tonne). Worrisome technical buying and dry weather in Argentine producing belt support US soybeans in market. Meanwhile, concerns over strict GMO certificates censorship bolster soybean meal. In light of good soybean crush margins, operation in oil mills is now recovered where operation rate in Shandong has been lifted, and most oil mills in North China now restart the machine for lifted environmental alert. Given that, stocks are likely to accumulate, limiting the upside of its rebound, generally, soybean meal will remain strong with futures in a short term. Buyers are encouraged to maintain proper inventories when bargain hunting, but to chase high prices is not recommended.

    Daily review on imported rapeseed meal: today, prices for imported rapeseed meal pick up, among which prices in coastal areas stand at 2,320-2,400 yuan/tonne, some rising 10-20 yuan/tonne(Guangxi offers 2,320 yuan/tonne; Guangdong 2,330 yuan/tonne; Fujian 2,400 yuan/tonne, up 20 yuan/tonne). US soybeans keep strong in market due to concerns over strict GMO certificates censorship, environmental inspections to affect operation in the North and increasingly strong performance of La Nina to bring about hot and dry weather in Argentina, consequently bolstering rapeseed meal. Nevertheless, the upside of rapeseed meal may be somewhat limited the time aquaculture is still off-season. Stocks of rapeseed meal keep growing with lifted operation rate in coastal oil mills, where some in Guangdong and Guangxi are brimming in inventories and are projected to stop operation. Still, the falling risks on prices is likely to come in medium and long term. Buyers who have some in inventories for the moment can wait and see.

    Daily review on fishmeal: today, prices for imported fishmeal keep firm, yet prices are negotiable upon transaction and shipments at ports are general. Northern ports: fishmeal price for Peru ordinary SD with 65% protein content is 11,200-11,600 yuan/tonne; 11,900-12,300 yuan/tonne for Japanese SD with 67% protein content; 12,500-12,600 yuan/tonne for super steam fishmeal with 68% protein content. Southern ports: fishmeal price for Peru ordinary SD with 65% protein content are 11,100 yuan/tonne; 11,900 yuan/tonne for Japanese SD with 67% protein content; 12,200 yuan/tonne for super steam fishmeal with 68% protein content. Fishing: till November 20th, about 9,384 tonnes of fish have been caught in southern Peru in B season over 17 years, accounting for 1.82% of the total volume; fishing quota for this season is 515,000 tonnes, among which 50,5616 tonnes remain unfinished. Port stocks: Hangpu has 57,000 tonnes, Fuzhou 38,000 tonnes, Shanghai 34,000 tonnes, Tianjin 1,000 tonnes, Dalian 6,000 tonnes, Fangchenggang 1,000 tonnes, and other ports 4,000 tonnes. Spots offers in foreign trading(FOB) remain stable, in detail, the fishmeal offer for Peru ordinary SD with 65% protein content stays at USD $1,370 per tonne, USD $1,520 per tonne for super steam fishmeal with 68% protein content; the offer in Chile ordinary SD with 65% protein content is USD $1,350 per tonne, USD $1,460 per tonne for excellent fishmeal with 68% protein content, all of which are shipments in D/J. Supply of fishmeal becomes tight in market, overall, fishmeal market will remain stable with strong momentum for growth.

    Daily review on soybean: affected by a strict investigation for GM-soybeans flows, ports of Shangdong are laid an embargo on all ships by state commodity inspection department, consequently, prices of imported soybeans are stopped to report in Qingdao and Rizhao ports. But worrisome technical buying and dry weather in Argentine producing belt support US soybeans in market. US soybeans are estimated to be strong in market and keep fluctuating in a tight range, besides with even more strict GMO certificates censorship, import of some soybeans for trade may be restrained, thus giving confidence to the market. However, estimated more than 26 Mln tonnes of soybeans will arrive at ports from November to January though domestic new soybeans now keep supplying in market, given that, imported and distributed soybeans will be pressured down later if soybean unloading goes smooth. Besides, uncertainties in market are quite a lot, therefore attention should be paid on later soybean arrivals and domestic soybean supplying in market.

    Daily review on oils: affected by technical buying and concerns over weather, US soybeans and meal last night ended high, by contrast, US soybean oil ended lower due to the end of traders' arbitrary. Correspondingly, oils in DCE follow the trend of yesterday--being weak in market and fluctuating in a tight range--where domestic soybean oil and palm oil spots are a tad lower. Generally, turnover is not much. Australian Bureau of Meteorology predicts that the probability of La Nina reaches 70%, seeing that, US soybeans now keep strong in market, meanwhile oils are limited to fall in light of strict GMO certificates censorship. Yet, with good soybean crush margins and exceedingly high operation rate, stockpiles of soybean oil now hit a record high amid fragile fundamentals. Overall, rebound of domestic oils is just a flash in the pan, in real terms, oils may be weak with futures and be hard to experience great ups and downs. Practically, buyers can hold a wait-and-see attitude for the time being.

    Today's soybean oil: main prices for GB grade one soybean oil in coastal areas stand at 5,880-6,020 yuan/tonne, falling 10-20 yuan/tonne in most areas (Tianjin traders offer 5,980-5,990 yuan/tonne, Rizhao traders 5,990 yuan/tonne, Zhangjiagang traders 5,980 yuan/tonne, Guangzhou traders 5,880-5,890 yuan/tonne, Fujian traders 6,000-6,020 yuan/tonne).

 

    Today's palm oil: 24-degree palm oil prices in coastal areas are mostly between 5,390 and 5,570 yuan/tonne, most decreasing by 10-40 yuan/tonne(Tianjin traders offer 5,560-5,570 yuan/tonne, down 10 yuan/tonne; Rizhao traders are out of stock; Zhangjiagang traders offer 5,520 yuan/tonne, down 30 yuan/tonne; Guangzhou 5,390 yuan/tonne, down 40 yuan/tonne;  and Xiamen traders 5,480 yuan/tonne).

    Daily review on imported rapeseed oil: today, prices for imported rapeseed oil decline steadily, among which prices in coastal areas are 6,540-6,740 yuan/tonne, some down 20-40 yuan/tonne against yesterday(Basis: Maple in Fangchenggang, Guangxi reaches 1,805-190 for January-March delivery; Yinxiang in Xiamen, Fujian offers 1,805-300 for January delivery; Shenheng in Guangdong offers 1805-300 for December delivery). Stocks of rapeseed oil in South China and East China last week were both downsized, bolstering rapeseed oil in market. By contrast, stocks of soybean oil hit a record high to 1.62 Mln tonnes amid overall oil glut and overwhelming soybean oils for rapeseed oil, shorter term, rapeseed oil in market will fluctuate with futures frequently. Yet, strengthened import inspections on GM-soybeans and winter’s haze-treatment plans under the way may affect operation in oil mills, thus limiting oils to fall.

    Daily review on corn: today, prices for domestic corn prices remain stable among which some encounter with slight fluctuations. Most prices for corn acquisition in Shandong deep-processing enterprises stay at 1,690-1,780 yuan/tonne, some falling 6-12 yuan/tonne against yesterday. Corn prices at Jinzhou port, Liaoning are buoyant, where new corn stands at 1,635 yuan/tonne, up 10 yuan/tonne, and corn with 30% moisture settles at 1,310 yuan/tonne, keeping flat over yesterday. While, corn prices at Bayuquan port are stable, among which drying new corn of Liaoning and Jilin with 14.5%-15% moisture prices at 1,610 yuan/tonne, and 1,590-1,600 yuan/tonne for Heilongjiang corn, keeping flat compared with yesterday. New corn prices at Shekou port, Guangdong stay at 1,830 yuan/tonne upon transaction, remaining flat over yesterday. Albeit overall supply in producing belt is sufficient, downstream enterprises have not yet built inventories but to keep cautious about spots procurement, then corn prices will be weighed down in the context of bearish fundamentals. On the hand, corn prices are somewhat bolstered given strong sentiments of farmers in main producing areas to hold on goods and successive corn purchases in some subordinate storage in northeast. Overall, domestic corn is estimated to fluctuate in a tight range in a short term.

    Daily review on sorghum and barley: today, prices for imported sorghum are buoyant which settle at 1,790-2,250 yuan/tonne at main ports(Tianjin offers 1,980-2,250 yuan/tonne; Shanghai 1,890 yuan/tonne; Guangdong 1,790-1,800 yuan/tonne. Meantime prices for most imported barley keep stable which stay at 1,660-1,840 yuan/tonne at main ports(Tianjin has not reported yet; Qingdao 1,860 yuan/tonne; Zhangjiagang 1,780 yuan/tonne, but 1,750 yuan/tonne upon transaction; Nantong 1,700-1,800 yuan/tonne; Shekou port in Guangdong 1,660-1,780 yuan/tonnes). Sorghum market are buoyed by tight supply at Tianjin and Nantong ports and bullish fundamentals. Additionally, costs for barley and sorghum keep at a high level due to strong sentiment of importers to hold out for high prices in case of unavailable supplies on lower costs. However, poor demand for feed will also affect grain requirements, limiting the rally of spots amid mixed long and short positions. Shorter term, sorghum and barley will remain strong in market instead of experiencing great ups and downs.