[Soda ash] Soda ash Weekly Review: Soda ash prices are stable and weakening Market sentiment is mostly bearish

Soda ash prices are stable and weakening. Market sentiment is mostly bearish (6.20 Soda Ash Weekly Review)

1. Analysis of domestic soda ash market

This week, the domestic soda ash market has collectively declined, with prices falling by 50-100 yuan/ton. As of this Thursday, the domestic light soda price is 2,100 - 2,300 yuan/ton, and the heavy soda price is 2,200 - 2,400 yuan/ton; There are fewer companies to be overhauled in the market this week, and the overall market has started at a high level, and the supply is sufficient; with the downward adjustment of soda ash prices, downstream companies have increased their purchasing caution, the market transaction situation of new orders is weak, corporate inventories are accumulated, and light soda stocks are relatively large; The demand remains strong, and low-price transactions are good. The high-priced soda ash market is more resistant, and the market has a strong sentiment of price suppression. At present, the supply and demand in the soda ash market are weak, and the market is operating steadily and weakly.

In terms of futures, soda ash prices continued to decline month-on-month during the week. The fundamentals of soda ash are still weak this week, but data changes show signs of marginal benefits, and futures prices have room for oversold and rebound. However, there is still a lack of further driving force for the time being, and market feedback has not yet completely changed. In the short term, the market may remain wide-ranging and waiting until no new drivers emerge.

Forecast for next week: soda ash companies have no maintenance plans in the short term, and the market starts to maintain a high level, and there is an increasing trend; downstream demand is weak, procurement is cautious, and the transaction atmosphere is light. Some market participants are more bearish on the later market. The market is pessimistic. In the short term, the soda ash market will remain weak, and the market price will be discussed separately.

2. Comparison of market prices of soda ash in regions

Unit: yuan/ton

3. Soda ash process profit statement

As of June 20 this week, the profit of the combined alkali method was 671 yuan/ton, down 119 yuan/ton from the previous week; the profit of the ammonia-alkali method was 488 yuan/ton, down 47 yuan/ton from the previous week.

4. Equipment maintenance of soda ash enterprises

About 89.60% of the soda ash industry started this week, an increase of 1.24% from last week. According to incomplete statistics, the output of soda ash manufacturers this week is about 750,000 tons.

5. Soda ash manufacturer inventory

The total inventory of domestic soda ash manufacturers this week was 900,000 tons, compared with around 856,200 tons last week, an increase of 43,800 tons month-on-month, or 4.87%.