Analysis of soda ash market
Today, China's soda ash market is operating in a downturn. As of now, the price of light soda ash in Central China is between 1,850 - 2,050 yuan/ton, and the price of heavy soda ash is between 2,100 - 2,200 yuan/ton; the price of light soda ash in South China is between 2,350 - 2,450 yuan/ton; Recently, the market has been affected by the continuous decline in prices, and companies have been weak in receiving orders, and inventory pressure has gradually increased. Today, the price of new orders of some companies has been lowered by 100 yuan/ton; Procurement in the downstream market is cautious, companies have a strong wait-and-see attitude, and the weak soda ash market is mainly adjusted.
Futures dynamics
According to Boduo data, the opening price of SA2405, the main contract for soda ash, on February 28, was 1796 yuan/ton, and finally closed at 1759 yuan/ton, an increase of-1.18% within the day. The intraday high was 1803 yuan/ton, the lowest was 1753 yuan/ton, with a total position of 603080 lots, a month-on-month +22689 lots.
Today, the main contract for soda ash fluctuated and fell mainly. The market is mainly focused on repairing yesterday's small composition disturbance, and the logic of its own weak fundamentals remains unchanged. The overall market is down in a narrow range. The spot market is still filled with a pessimistic atmosphere of price cuts. However, the current downstream post-holiday replenishment logic has not yet been falsified, and the current increment on the supply side has basically been realized, lacking a negative driver for further growth. The short-term market may still be oscillating around 1750 to wait for new drivers.
market outlook
At present, most enterprises have maintained a high level of start-ups, and some enterprises will increase their quantities. There is no enterprise inventory and maintenance plan in the short term; the market is weak, prices continue to adjust downward, enterprise shipments are weak, inventories continue to increase, and supply and demand in the soda ash market are out of balance. soda ash prices are expected to be lowered again in the short term.
