Demand is sluggish, market center of gravity is lower
Float glass market price
Analysis of float glass market
Today, the center of gravity of China's 5mm float glass market continues to decline, with prices lowered by 10-80 yuan/ton in various regions. The price of 5mm large slabs in South China and Guangdong has dropped significantly, dropping 80 yuan/ton to 1150 yuan/ton, and downstream purchasing sentiment remains cautious; Trading in Northeast China is weak, and the quotation has been lowered by 40 yuan/ton. The demand is mainly based on the need to replenish the warehouse; Southwest, Central and South China regions have been hit by low-price sources from surrounding areas, and market transactions have been significantly blocked; the trading atmosphere in the Beijing-Tianjin-Tangshan region in North China has improved slightly compared with the previous period, but prices are still in a downward trend. At present, although some float glass production lines have stopped materials, the supply rigidity is strong. Coupled with the backlog of inventory in the early stage, the market supply is still sufficient. However, the macro level has limited effect on demand, and the downstream wait-and-see attitude is strong. The imbalance between supply and demand in the spot market is difficult to improve in the short term.
Float Glass Index Analysis
According to data from Boduo, the float glass price index on September 23 was 1,055.20, down 25.49 from the previous working day, with a range of-2.36%.
Futures dynamics
According to data from Boduo, the opening price of FG2501, the main glass contract, on September 23, was 1034 yuan/ton, and finally closed at 1062 yuan/ton, an increase of 1.34% within the day. The intraday high was 1075 yuan/ton, the lowest was 1022 yuan/ton, holding 1224239 lots, a month-on-month-on-month.
Glass futures prices rebounded at a low level today, mainly due to the recent news of an increase in cold repairs on the supply side. Short-term risk aversion eased their positions and moved upwards. In addition, the recent price insurance policy of glass factories has driven demand for replenishment in the middle and lower reaches to a certain extent, and production and sales have also improved to a certain extent over the weekend. However, continuous issues need to be paid attention to in the follow-up. Overall, the current fundamental contradiction in glass still cannot be effectively improved. Although the clearing of the supply side shows signs of accelerating and has certain support for prices, it cannot form a strong upward drive for the time being. In the future, we need to observe when our own demand will be heavy. In the short term, the market may temporarily fluctuate at a low level and wait for new drivers to emerge from the macro policy side.
market outlook
The transaction situation in the float glass market is poor, spot prices continue to weaken, and fundamental contradictions between supply and demand still exist. Without stimulus, it is expected that the float glass market will not be able to change its weak operating situation in the short term.
